POSCO Holdings will sell 460 billion won worth of Nippon Steel shares. The shares have been held for about 20 years since the early 2000s as part of the strategic partnership between the two companies, and they are classified as non-core assets within the group.
According to the Financial Supervisory Service's electronic disclosure system on the 19th, POSCO Holdings classified 467 billion won worth of Nippon Steel shares as 'non-current assets or disposal groups classified as planned for sale.' The timing and method of the sale have not yet been determined.
In the past, POSCO received technology and resources from Nippon Steel to build the Pohang Steelworks, and to strengthen the cooperative relationship with Nippon Steel, POSCO has held a certain percentage of Nippon Steel's shares since the early 2000s, while Nippon Steel also holds equity in POSCO.
POSCO Group plans to rapidly execute more than 97% of the restructuring targets by 2026 to secure approximately 2.6 trillion won in cash.
However, this sale does not indicate a dissolution of the strategic friendship with Nippon Steel. A representative from POSCO Holdings noted, 'The strategic alliance between the two companies remains unchanged, and last year, when Nippon Steel sold its equity in POSCO Holdings, it announced that the strategic relationship would continue.'