Nippon Steel and Kobe Steel to dissolve cross-shareholdings and continue cooperation in steel processing and other businesses

Nippon Steel and Kobe Steel recently announced that they will dissolve the mutual investment relationship they have maintained since 2002. However, the two companies will continue to cooperate in steel processing and other businesses. Nippon Steel is promoting the relationship evaluation of group companies and the sale of policy-based holdings in an effort to improve capital efficiency.

Nippon Steel holds 2.7% of Kobe Steel, while Kobe Steel holds 0.6% of Nippon Steel. Based on the closing price on the 6th, the stock sales amount is about 20 billion yen each. The main purpose of dissolving the holdings is to improve capital efficiency, and the timing of the sale will be determined based on market trends.