China slows review of chip company mergers amid trade tensions

New York

Two multi-billion dollar takeovers of semiconductor makers are being stalled by Chinese regulatory reviews amid rising U.S.-China trade tensions, the Wall Street Journal reported on Saturday, citing people familiar with the matter.
Qualcomm Inc’s (QCOM.O) proposed $44 billion purchase of Dutch chip maker NXP Semiconductors NV (NXPI.O) could be at risk due to the delayed review. China is the only country that has not yet signed off on the deal, or on Toshiba Corp’s (6502.T) planned $19 billion sale of its chip unit to a Bain Capital consortium, according to the newspaper.
Qualcomm’s merger agreement with NXP was extended for a second time in January, giving the two until to April 25, although the parties could decide to extend the deadline.
President, Wang Qishan, last month assured Qualcomm Chief Executive Steve Mollenkopf that the review would not be affected by politics, the newspaper said.
Qualcomm and Toshiba did not immediately respond to requests for comment.—Agencies

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