Cleveland-Cliffs CEO Lourenco Goncalves has responded to allegations of racketeering and anti-competitiveness in a lawsuit filed by Nippon Steel and US Steel against the Biden administration’s decision to block their $15 billion buyout deal. Goncalves claims that he is “armored through the teeth” and will defend himself in court.
Goncalves denied that Cleveland-Cliffs, along with United Steelworkers President David McCall, had coordinated to prevent the transaction. He stated that US Steel turned down Cleveland-Cliffs’ $7 billion buyout offer in 2023 and that there was no illegal coordination. Goncalves also claimed that Nippon Steel cannot purchase US Steel due to national security concerns.
The Biden administration cited national security as the reason for blocking the deal, but Goncalves believes it will not be resuscitated. He stated that the deal has been blocked and that suing the President of the United States is a bad idea.
Nippon Steel and US Steel have filed separate lawsuits against the Biden administration, claiming undue influence to advance their political agendas. However, Cleveland-Cliffs’ response suggests that they may not be seeking to pursue the case further.
Source: https://www.foxbusiness.com/media/nippon-steel-us-steel-rival-denies-bombshell-lawsuit-claims-armormed-through-teeth