CFIUS refers Nippon Steel39;s bid for U.S. Steel to Biden
Biden has 15 days to decide on the merger
Nippon Steel faces 565 million penalty if deal collapses
WASHINGTON, Dec 24 Reuters Nippon Steel39;s 15 billion bid for U.S. Steel has been referred to U.S. President Joe Biden, a White House spokesman said, giving the president 15 days to decide on a tie up he has previously said he opposes.
The Committee on Foreign Investment in the United States CFIUS, which reviews foreign investments in the U.S. for national security risks, referred the deal to Biden after it was unable to reach a consensus, the companies and two sources said.
That gives Biden, who has long opposed the tieup, 15 days to block the deal. If he takes no action in that time, the merger would get an unexpected greenlight.
We received the CFIUS evaluation and the President will review it, White House spokeswoman Saloni Sharma said.
The referral to Biden paves the way for the deal to be killed before Presidentelect Donald Trump takes office.
Trump, who will be inaugurated on Jan.20, has also opposed the deal, which was first announced last December.
Nippon Steel and U.S. Steel said on Tuesday they were informed of the referral. Both companies have previously said they had planned to close the deal before the end of 2024.
We urge him Biden to reflect on the great lengths that we have gone to address any national security concerns that have been raised and the significant commitments we have made…