(Reuters) – U.S. Steel said on Sunday it will begin a formal review to assess strategic alternatives to the steel product after receiving multiple unsolicited bids for part or all of its business.
Chief Executive David Porritt said in a statement that the review began after the steel producer received “several unsolicited proposals that ranged from the acquisition of certain production assets to considerations for the entire company,” without disclosing details about strategic alternatives.
The steel producer said Barclays Capital and Goldman Sachs are acting as financial advisors to US Steel, while Milbank LLP, Wachtel, Lipton, Rosen and Katz are acting as legal advisors.
US Steel, which has been raising prices to offset the impact of higher costs related to raw materials and energy, saw strong demand for steel products, which helped the company beat profit estimates for the second quarter.
US Steel also expects to complete approximately $75 million of common stock buybacks in the second quarter under its existing $500 million stock repurchase license.
(Reporting by Akanksha Khushi in Bengaluru; Editing by Lisa Shumaker and Paul Simao)