SEC Charges Esmark Inc. and Chairman James Bouchard with Announcing False Tender Offer to Purchase U.S. Steel Corp.

The Securities and Exchange Commission today announced settled charges against Esmark Inc. and its founder, chairman, and former CEO, James P. Bouchard, for publicly announcing a tender offer to purchase U.S. Steel Corporation for $35 per share even though Esmark lacked the financial means to consummate the offer. According to the SEC’s order, on Aug. 14, 2023, at Bouchard’s direction and approval, Esmark announced an offer for all issued and outstanding shares of U.S. Steel for $35 per share, which would have required $7.8 billion in cash to complete. The following day, Bouchard appeared on a cable news program and said that Esmark had $10 billion available in cash committed to the deal and would not put up any of Esmark’s assets as collateral.