In a statement issued this week, US Steel Corporation clarified the role of the United Steelworkers union (USW) in considering potential bids for acquisition.
The USW reportedly has a contractual right to bit on US Steel Corporation or certain of its assets in the event the company is put up for sale, and US Steel acknowledged that the union has transferred those bid rights to their preferred buyer, Cleveland-Cliffs.
The union contract also requires any buyer to sign off on a new labor agreement before any acquisition transaction closes. The USW has said this provision gives them veto rights to any potential buyer, but US Steel said in a statement that the union does not have veto power.
Reporting this week indicates ArcelorMittal is also interested in bidding for US Steel, along with privately-held steel service center Esmark, which issued a $7.8 billion cash offer that US Steel rejected.