Nippon Steel Plans to Raise $1.6 Billion Despite US Concerns (1)

Nippon Steel Corp. is planning to raise as much as ¥250 billion ($1.6 billion) via bond sales and loans, pushing ahead with debt fundraising in spite of concerns that its planned acquisition of United States Steel Corp. may stall.

Japan’s biggest steelmaker has hired banks to sell as much as ¥167.5 billion of subordinated bonds in three tranches and get ¥82.5 billion from junior syndicated loans, according to a company statement on Thursday.

The manufacturer is planning to redeem unsecured subordinated bonds sold in 2019, and the funds would also be used to pay for early redemptions and to strengthen ...