United States Steel (NYSE:X) stock is rising higher on Monday after the company rejected a massive takeover offer.<br /><br />According to a press release from the company, it is not accepting the $7.3 billion buyout offer from Cleveland-Cliffs (NYSE:CLF). United States Steel says it rejected the offer because Cleveland-Cliffs wouldn’t engage in proper evaluation of the deal unless it agreed to the terms.<br /><br />Here’s a portion of the response letter that United States Steel President and CEO David Burritt sent to Cleveland-Cliffs.<br /><br />“As you well know, our Board – or any board – could not, consistent with its fiduciary duties, agree to a proposal of which 50% is represented by your stock without conducting a thorough and completely customary due diligence process, to evaluate the risks and potential upsides and downsides inherent in the transaction, including the stock component.”<br /><br />United States Steel notes that it will continue to review strategic options present to it. This follows the company acknowledging that it received several unsolicited bids.
