UK Business Secretary Grant Shapps has ordered Nexperia to sell its majority stake in Newport Wafer Fab, the Welsh semiconductor firm it acquired for £63m. 

Nexperia is based in the Netherlands but owned by Wingtech, a company partially backed by the Chinese government and listed in Shanghai. In July 2021, the firm completed its acquisition of Newport Wafer Fab, after purchasing 86 per cent of company shares, in addition to the 14 per cent it already possessed. 

The firm subsequently changed its name to Nexperia Newport Limited, or NNL.

Earlier this year the UK government launched a national security probe into the deal, using powers that allow it to review and block foreign takeovers or investments in sensitive sectors.

The government said yesterday (Wednesday, 17 November) that the location of the Newport facility led to the view that the takeover was a national security concern.

“Following a detailed national security assessment, the Business Secretary...