United States Steel Corporation (NYSE:X) shares surged on the news president Donald Trump has directed the Committee on Foreign Investment in the United States (CFIUS) to conduct a new review of Japan-based Nippon Steel's proposed acquisition of company.
This move raised investor optimism that the $14.9 billion deal, previously blocked by former president Joe Biden due to national security concerns, might now receive approval.
Trump directed CFIUS to look into the deal to allow the president to determine “whether further action in this matter may be appropriate.”
CFIUS has 45 days to submit its recommendation to the president.
US Steel shares jumped 14.3% to about $44 on the update, while Nippon Steel’s American-listed shares added 2% at $6.60.