A day after the British government said that they would not intervene in China’s takeover of UK’s largest producer of semiconductors, the British Prime Minister Boris Johnson stated that his government will look into the purchase and review it.
Nexperia, a Chinese-owned firm said on Monday that it has acquired United Kingdom’s largest producer of semiconductors, Newport Wafer Fab. As per a report by They Sydney Morning Herald (SMH), this deal was worth around $116 millions, however, it has not been confirmed yet.
SMH reported that the agreement wasn’t reviewed under Britain’s New national security law that’s meant to review high-risk takeovers of critical infrastructure firms by foreign companies.
This agreement becomes more important as it comes at a time when the world is facing a shortage of silicon chips and hence, the semiconductor industry has gained a lot of geopolitical significance.
Boris Johnson, however, said that the sale was a very difficult business and he does not want any anti-China spirit to lead them trying to pitchfork away every investment from China. He said that would be economically foolhardy.