Ancora seeks to block Nippon Steel's US Steel takeover

Ancora Holdings Group, an asset manager, is aiming to block Nippon Steel's proposed $15 billion takeover of U.S. Steel, announcing its acquisition of a 0.18% stake in the company. The firm alleges that U.S. Steel's leadership, particularly CEO David Burritt, is prioritizing the Nippon sale for personal financial gain. President Biden has already blocked the acquisition, but U.S. Steel and Nippon have filed a federal lawsuit to challenge this decision. Ancora is proposing a new slate of independent directors and a new CEO, Alan Kestenbaum, to focus on revitalizing U.S. Steel rather than pursuing the sale. They also plan to seek a $565 million breakup fee from Nippon, arguing that U.S. Steel is in financial distress due to poor management decisions. Opposition to the deal is also echoed by former President Trump, who has questioned the wisdom of selling a domestic steel asset to a foreign entity.