Deals
Trump Advised to Halt Infineon Deal Amid China Security Risk
- National security panel seeks block of $9 billion chip merger
- Trump has blocked two previous foreign takeovers on security
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U.S. national security officials are recommending that President Donald Trump block Infineon Technologies AG’s proposed acquisition of Cypress Semiconductor Corp., according to people familiar with the matter.
The officials are concerned that Infineon’s $8.7 billion deal for the American chipmaker poses a risk to national security, said three people familiar with the matter. Infineon, a German semiconductor maker with substantial Chinese revenue, has tried to negotiate an agreement with the government that would let the takeover proceed, but hasn’t been able to reach a deal, one of the people said. All of the people asked not to be named discussing a national security matter.