Nippon Steel To Transfer Shares Of NS Kote To ArcelorMittal, Expects 230 Bln In Restructuring Loss

(RTTNews) - Nippon Steel Corp. (NISTY.PK, NISTF.PK), a Japanese steel major, announced on Friday that it has inked a definitive Equity Purchase Agreement to transfer all shares of its wholly owned subsidiary, NS Kote, Inc. to ArcelorMittal S.A. (MT).

NS Kote holds Nippon Steel's entire equity interest in AM/NS Calvert LLC, a 50:50 joint venture. The JV is owned by NS Kote and ArcelorMittal's wholly-owned subsidiary, ArcelorMittal Calvert, LLC.

In view of the transaction, to be closed in the fourth quarter of 2024, the Japanese steel maker expects to report around 230 billion yen as one-time loss on business restructuring. Further, Nippon Steel expects to record an extraordinary loss of about 100 billion yen.

The company continues to expect to distribute total annual cash dividend of 160 yen per share.