UK Blocks Chinese-Led Buyout of Biggest Microchip Factory

The UK ordered China’s Wingtech Technology Co. to undo its acquisition of Britain’s biggest microchip factory more than a year after the deal closed, citing national security concerns.

Wingtech’s Dutch subsidiary Nexperia Holding NV will be forced to sell the 86% of Newport Wafer Fab in Wales it bought in July 2021 in a deal worth about £63 million ($75 million), a person familiar with the matter said at the time. It held a small stake before that date, prior to the new UK takeover rules.

Business Secretary Grant Shapps saw a risk to national security from “a potential reintroduction ...