Until March 2021, Nippon Steel will unload assets worth up to 200 billion yen (US $ 1.85 billion), which is beyond the original sales plan to finance the acquisition of India's Essar Steel. Sales will focus on fixed assets such as equity and land. Executive Vice President Katsuhiro Miyamoto said that "we intend to use the capital for purposes such as the acquisition of Essar."
Nippon Steel originally planned to sell 100 billion yen of assets in three years through fiscal 2020, but decided to increase the amount.
The plan to buy Essar Steel through a joint venture with ArcelorMittal is in its final stages, with a formal agreement to be signed as early as this fiscal year. Nippon Steel and ArcelorMittal have agreed on a price of Rs 420 billion (US $ 6.15 billion) to be split between the two companies, followed by additional investments to modernize production facilities.
Nippon Steel will sell nearly $ 2 billion in assets to buy Essar Steel
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