President Trump bans Lattice deal

September 14, 2017 //By Peter Clarke
As expected, President Trump has issued an order banning the takeover of FPGA supplier Lattice Semiconductor Corp. (Portland, Oregon) by Canyon Bridge Capital Partners, LLC. Lattice has issued a statement announcing that the deal has been cancelled.

The Committee on Foreign Investment in the United States (CFIUS) referred the deal to the US President for a decision, having been unable to come to an agreement with the parties on mitigation measures.

Lattice said that in its view the deal was in the interest of shareholders, customers, employees and the United States and that it was disappointed that it had been unable to persuade CFIUS that its mitigation proposal would provide enough protection for national security.

"We will continue to focus on initiatives that will contribute to Lattice’s long-term success, specifically in areas where our affordable, low power, small form factor devices create advantages. Additionally, we remain committed to achieving profitable growth by extending processing and connectivity solutions beyond our core business. Lattice’s future remains bright," said Darin Billerbeck, Lattice CEO, in the statement.

Lattice announced the deal in November 2016 but has struggled to move it forward while it has been under scrutiny from CFIUS, which has in recent times been more inclined to block deals, particularly where Chinese interests have been seeking to take positions in strategic sectors such semiconductors. President Obama followed the CFIUS recommendation and prohibited the acquisition of the US business of metalorganic chemical vapor deposition (MOCVD) equipment vendor Aixtron SE (Herzogenrath, Germany) by China-controlled Grand Chip Investment GmbH.

Related links and articles:

www.latticesemi.com

President Trump's order is here:  https://www.whitehouse.gov/briefing-room/presidential-actions

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