Deals
China Chipmaker’s Major Shareholder Said to Reject Rescue
- Investor Jiankun penned letter criticizing JAC bid as too low
- Troubled Unigroup’s rescue remains a national priority
A Huawei Technologies Co. chip.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
A major Tsinghua Unigroup Co. shareholder has pushed back against a prominent government-backed fund’s takeover bid, casting doubt on a deal portrayed as a bailout of one of China’s most important but debt-ridden semiconductor players.
Zhao Weiguo’s holding firm Jiankun, which owns 49% of Unigroup, sent a memo to domestic executives and creditors decrying a takeover bid led by JAC Capital as undervaluing his company, according to a copy of the letter seen by Bloomberg News and verified by people familiar with the matter.