Germany likely to block Chinese takeover of Elmos' chip production

Elmos Semiconductor SE

07/11/2022 20:44

FRANKFURT, Nov 7 (Reuters) - The German government will
likely block the Chinese takeover of Elmos'  ELGG.DE  chip
factory, the Dortmund-based company said on Monday.
    The economics ministry had been examining the sale to
competitor Silex, a Swedish company that is a subsidiary of
Chinese group Sai Microelectronics  300456.SZ .
    The deal "will most likely be prohibited" in a "new
development", Elmos said on Monday.
    Until Monday, the ministry "had indicated to the parties
that the transaction most likely will be approved".
    Elmos said that it would examine further steps "after
receiving the final assessment".
    Silex did not immediately respond to a request for comment
outside of normal business hours.
 (Reporting by Tom Sims; Editing by Josie Kao)
 ((Tom.Sims@thomsonreuters.com; +49 30 220 133 645;))