Stories
Slash Boxes
Comments

SoylentNews is people

Submission Preview

Link to Story

President Trump Blocks Acquisition of Lattice Semiconductor

Accepted submission by takyon at 2017-09-14 01:10:53
Business

President Trump has blocked Canyon Bridge Capital Partners LLC from acquiring Lattice Semiconductor Corporation [nytimes.com], using the authority granted by the Exon–Florio Amendment [wikipedia.org]. Lattice Semiconductor [wikipedia.org] makes programmable logic devices including field programmable gate arrays (FPGAs):

President Trump on Wednesday blocked a China-backed investor from buying an American semiconductor maker over national security concerns, a rare move that could signal more aggressive scrutiny of China's deal-making ambitions. The deal for Lattice Semiconductor has provided a test of the president's economic and diplomatic relationship with China.

[...] The White House said on Wednesday that it prevented the acquisition of Lattice Semiconductor, in part because the United States government relies on the company's products. The integrity of the semiconductor industry, it said, was vital.

The White House also raised concerns over the buyer's close ties to Beijing. The investment group included China Venture Capital Fund Corporation, which is owned by state-backed entities, the White House said.

The decision could foretell trouble for other Chinese deals under review by the Committee on Foreign Investment in the United States, a multiagency group that examines takeovers of American companies by foreign buyers and makes recommendations to the president. The group, which operates largely in secrecy, is also looking at the proposed purchase of MoneyGram International by Ant Financial, an affiliate of the Chinese technology giant Alibaba Group.

Also at Bloomberg [bloomberg.com] and BBC [bbc.com].


Original Submission