Japanese steelmaker Nippon Steel Corporation has announced that it has secured approximately JPY 900 billion ($5.64 billion) in financing through a co-financing arrangement led by the Japan Bank for International Cooperation (JBIC), alongside major Japanese lenders.
The funds will be used to repay the bridge loan that was originally utilized to finance the acquisition of shares related to the partnership between Nippon Steel’s US subsidiary and United States Steel Corporation (US Steel).
Full refinancing of bridge loan completed
The company stated that the full bridge loan, totaling approximately JPY 2 trillion ($12.54 billion), has now been repaid through a combination of financing instruments.
In addition to the JBIC-backed financing, Nippon Steel secured a JPY 500 billion subordinated term loan in September 2025, along with euro-denominated convertible bonds issued in March 2026 with maturities in 2029 and 2031.
This completes the company’s transition from short-term bridge financing to a permanent funding structure for the acquisition.
Strategic expansion in US steel market
Following the acquisition, Nippon Steel has established an integrated steelmaking platform in the United States, which represents the world’s largest market for high-grade steel products.
The company plans to invest approximately $11 billion in US Steel operations by the end of 2028 as part of its long-term growth strategy. It also aims to enhance US Steel’s competitiveness by transferring advanced operational, equipment and product technologies.
According to the company, these initiatives are expected to generate an annual structural impact of around $3 billion by 2030, supporting the company’s position in the growing market for high-grade steel.
