Nippon Steel to increase stake in Sanyo Special Steel

Nippon Steel to increase stake in Sanyo Special Steel

Nippon Steel Corporation, Japan's largest steelmaker, said that it will raise its stake in another domestic steelmaker Sanyo Special Steel Company from the current 11 percent to around 15 percent. The companies indicated that by raising its voting rights to around 15 percent, Nippon Steel will turn Sanyo Special Steel into a group affiliate. Nippon Steel's move is intended to protect Himeji-based Sanyo Steel from takeover threats from overseas steelmakers. Nippon Steel will spend about Yen 7 billion ($59.8 million) in a stake-raising plan in Sanyo Steel.