Japan-based steel producer Nippon Steel Corporation has announced that its wholly-owned subsidiary Nippon Steel Stainless Steel Corporation (NSSC) has merged with Nippon Steel, with NSSC dissolving as a result.
According to the press release by Nippon Steel, the company, in view of expectations towards a more challenging business environment due to factors such as a decline in domestic demand, the prolonged problem of overcapacity in the Asian market and changes in social and industrial structures aimed at decarbonization, has found the companies working together a necessity for maintaining growth and decided to implement an absorption-type merger of NSSC into Nippon Steel.
The merger will be effective as of April 1, 2025, and no shares or other money will be delivered upon execution.