US Steel: Cliffs trying to derail Nippon Steel deal

The United States Steel board of directors, in a highly unusual move, has released a letter stressing its intention to achieve the firm's buyout by Nippon Steel.

The company also accused its rival and unsuccessful bidder Cleveland-Cliffs of spreading rumors to derail the deal.

US Steel shareholders approved the takeover proposal at a general meeting in April, but the United Steelworkers union is against the buyout.

The US Steel board of directors released the letter on Tuesday.

It says Cleveland-Cliffs has been sowing misinformation, leading the market to believe US Steel is working to unwind the transaction.

The letter stresses that US Steel assessed proposals made by both Cleveland-Cliffs and Nippon Steel, and judged that the Japanese firm's proposal was superior.

US Steel says it aims to complete the deal because Nippon Steel's proposal is good not only for the firm and shareholders, but also for the economic security of the United States.

Meanwhile, Cleveland-Cliffs fired back in a statement on Tuesday, saying it has not publicly spread misinformation.

It noted that the union supports its proposal.