The UK government has blocked a Hong Kong firm from acquiring a Bristol-based semiconductor design company.
Super Orange will not be allowed to buy Pulsic, with the government claiming such a deal would pose a risk to national security.
The decision was made using the new National Security and Investment Act that gives the UK government more powers over deals it believes could be a risk.
“The Secretary of State considers that a risk to national security arises from the application of the intellectual property, knowledge, processes and techniques for the software for the electronic design automation (EDA) products, to facilitate the building of cutting-edge integrated circuits that could be used in a civilian or military supply chain,” Business Secretary Kwasi Kwarteng said in a statement.
Pulsic develops Precision Design Automation tools, developing software and IP for the semiconductor industry. These products, which are “used to build defense or technological capabilities,” could be exploited, the department said.
Kwarteng has yet to make a decision on whether to block the purchase of the UK’s largest chip fab by a Chinese company, having repeatedly pushed back the timeline for approving or stopping the deal.
The Business Secretary has backed current frontrunner Liz Truss in the upcoming Conservative leadership vote, and is widely expected to become Chancellor should she win over rival Rishi Sunak. Data Center Dynamics