The U.K. National Security Adviser is currently looking into whether Nexperia’s bid for the fab is against the public interest. However the government cannot block the deal until the National Security and Investment Act comes into force on January 4th – although it could do so retroactively.
Black resigned from Imagination last year after investors China Reform attempted to take control of the board.
Nexperia, a customer of Newport Wafer Fab, is owned by the Chinese company Wingtech. Under its customer agreement with Newport Wafer Fab, Nexperia had the right, in certain financial circumstances, to buy out Newport Wafer Fab. It is this right which Nexperia is now attempting to exercise.
Now a group of private equity companies and banks is said to be putting forward an alternative bid for the company.