Japanese Firms Adapt to Reverse Break-Up Fees Amid Nippon Steel’s $565 Million Challenge

Reported about 19 hours ago

Following Nippon Steel’s $565 million penalty linked to its failed acquisition of U.S. Steel, Japanese companies may now encounter an increased prevalence of reverse break-up fees in mergers and acquisitions. Historically, Japanese firms have been shielded from such fees, but a rise in protectionist U.S. policies is prompting U.S. firms to demand these fees to mitigate risks associated with regulatory hurdles. As a result, the landscape for Japanese entities seeking U.S. assets appears to be shifting, with greater emphasis on reverse break-up fees becoming the norm.

Source: YAHOO

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