Siltronic sale to GlobalWafers in limbo, German approval still to be obtained

Germany’s approval of the sale of chipmaker Siltronic to Taiwan-based GlobalWafers, a key condition of the deal, has still not been secured, less than three weeks before the deadline expires, Siltronic said. Friday.

Germany’s federal minister for economic affairs and climate action must approve the 4.35 billion euro ($4.97 billion) sale, agreed about a year ago, before January 31. Otherwise, the transaction will collapse.

Siltronic and GlobalWafers said that in recent discussions with the minister they had “not received any information as to whether and under what conditions a clearance … for the public takeover of Siltronic AG by GlobalWafers can be issued”.

Siltronic said the minister also did not “communicate any specific undertakings or conditions, under which a clearance decision…could be issued.”

GlobalWafers secured a majority stake in Siltronic last year and initially hoped the deal, which aims to create the world’s second-largest maker of 300 millimeter silicon wafers, would close by the end of 2021. ($1 = 0.8761 euros) (Reporting by Christoph Steitz and Alexander Huebner; Editing by Cynthia Osterman)