US blocks tech firm takeover by China

US PRESIDENT Donald Trump has blocked the Chinese from buying a US-based chipmaker – in a move many think should be echoed in the UK.

Chinese private equity firm Canyon Bridge Capital Partners’ planned a £1bn acquisition of Lattice Semiconductor Corp, which makes microchips with a potential military use.

US scrutiny of the deal grew after it was reported that Canyon Bridge was funded partly by capital from China’s central government, and defence officials subsequently raised concerns about the acquisition.

And, in an executive order, Trump has blocked the deal for Oregon-based Lattice.

In the UK a number of tech and engineering firms have been snapped up by foreign investors, including National Grid gas networks.

Theresa May has pledged to take steps to review foreign takeovers but so far no deal has been stopped.