Nippon Steel’s $14 billion US Steel deal raises investor concerns over financing, control via golden share, and high acquisition premium.

The Japanese company secured its much-wanted prize late last week when President Trump approved the $14.1 billion purchase of US Steel

United States Steel shares rose in premarket trading on Monday after receiving approval from the Trump administration to be sold to Japan's Nippon Steel in a $14.1 billion deal. Shares rose 5% to $54.81.

There are reports that Nippon will spend billions of dollars on U.S. Steel facilities in Pennsylvania, Alabama, Arkansas, Minnesota and Indiana.

The partnership between US Steel Corp and Nippon Steel Corp has reached a new phase, with an agreement on US national security guarantees, in addition to the so-called “golden share” advantage obtained by US President Donald Trump’s administration.