Chinese private equity firm Wise Road Capital and U.S. chipmaker Magnachip Semiconductor Corp have terminated their $1.4 billion merger agreement struck in March, the companies said in a joint statement on Monday.
The U.S. Treasury Department had said in August the deal posed “risks to national security”, while the Committee on Foreign Investment in the United States (CFIUS) had ordered the deal to be put on hold in June.
Magnachip will get a termination fee of $70.2 million, according to the statement. Its shares were down 1.8% at $16.81 in extended trading.
Read more/Source: Reuters
