US approves Chinese acquisition of US company in a rare move

U.S. authorities have cleared the acquisition of a U.S. semiconductor manufacturer by a Chinese counterpart for the first time since Donald Trump assumed office.

Zhao Jinrong (right), chairman of subsidiary of NAURA Technology Group Co., Ltd and Michael Ioannou (left), chairman of Akrion Systems LLC, sign asset delivery documents at Akrion headquarters in the United States on January 16, 2018. [Photo: naura.com]

It is rare to see acquisitions by Chinese semiconductor equipment producers being approved by the U.S. government.

"As far as we can see, this was the first time that the Committee on Foreign Investment in the United States (CFIUS) has approved such an acquisition since Trump assumed office," said Fang Xue, partner at Gibson Dunn & Crutcher LLP.

A lawyer from a subsidiary of China's NAURA Technology Group Co., Ltd, confirmed on January 17 that its acquisition of Akrion Systems LLC (Akrion), an American semiconductor equipment manufacturer, has been completed, according to tech.sina.com.cn.

The transaction, valued at 15 million U.S. dollars, was much smaller than transaction standard, but still faced scrutiny from CFIUS. CFIUS is responsible for evaluating transactions that might jeopardize national security.