---
title: "Nippon Steel to raise $3.6 billion in Japan's biggest convertible bond offer ever"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/276712137.md"
description: "Nippon Steel plans to raise 550 billion yen ($3.55 billion) through a convertible bond sale, marking Japan's largest corporate bond offering. The funds will refinance its $15 billion acquisition of U.S. Steel and support business expansion. The bond will be issued in two tranches, maturing in 2029 and 2031, with zero coupon and stock acquisition rights. Nippon Steel aims to invest 6 trillion yen over five years, including $11 billion in U.S. Steel. Analysts note this strategy minimizes shareholder dilution and supports overseas growth while maintaining financial discipline."
datetime: "2026-02-24T09:37:16.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/276712137.md)
  - [en](https://longbridge.com/en/news/276712137.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/276712137.md)
---

# Nippon Steel to raise $3.6 billion in Japan's biggest convertible bond offer ever

TOKYO, Feb 24 : Japan's Nippon Steel plans to raise 550 billion yen ($3.55 billion) via a convertible bond sale - the biggest in Japan's corporate history - as the company seeks to refinance its $15 billion takeover of U.S. Steel, which closed in June, and to fund business expansion. Nippon Steel said in regulatory documents on Tuesday the bond issue was planned in two equal tranches of 275 billion yen, maturing in 2029 and 2031 respectively and bearing stock acquisition rights and zero coupon. It added that it may increase the bond offering based on investor demand and market conditions and as it looks to invest 6 trillion yen over the next five years, including $11 billion in U.S. Steel, to fund the business growth. Reuters reported earlier this month on Nippon Steel's plans for a convertible bond sale, citing sources, as the company seeks funding to replace a bridge loan it took out to buy U.S. Steel. "By choosing convertible bonds over an equity offering, the company aims to limit immediate shareholder dilution," Jefferies analysts said in a note, describing the planned bond operation as the largest ever by any Japanese company. "The funding plan marks a turning point that enables Nippon Steel to focus on overseas-led growth while balancing financial discipline," they added. This month, Nippon Steel widened its net loss forecast for the financial year to end-March to 70 billion yen due in part to a fire at a blast furnace and because of charges related to its acquisition of U.S. Steel. ($1 = 155.0400 yen)

### Related Stocks

- [9810.JP](https://longbridge.com/en/quote/9810.JP.md)
- [5476.JP](https://longbridge.com/en/quote/5476.JP.md)
- [5401.JP](https://longbridge.com/en/quote/5401.JP.md)

## Related News & Research

- [Assessing Nippon Steel (TSE:5401) Valuation After Recent Share Price Softness And Mixed Profitability](https://longbridge.com/en/news/286367504.md)
- [Micronics Japan Co., Ltd. (TSE:6871) Just Reported First-Quarter Earnings And Analysts Are Lifting Their Estimates](https://longbridge.com/en/news/286657555.md)
- [GRAPHIC-Under pressure: Tracking the pain in G7 government debt](https://longbridge.com/en/news/286769701.md)
- [Vietnam raises $343 mln in government bond auction](https://longbridge.com/en/news/287009261.md)
- [Wall Street points toward gains as oil prices fall and bond yields ease](https://longbridge.com/en/news/287063526.md)