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President Obama Blocks Chinese Acquisition of Aixtron SE

December 5, 2016, Covington Alert

Acting on the recommendation of the Committee on Foreign Investment in the United States (“CFIUS”), President Barack Obama issued an Executive Order on Friday, December 2, prohibiting the acquisition of the U.S. business of Aixtron SE (“Aixtron”) by a company ultimately owned by investors in China. This is the first time that a President formally has utilized the authority of the CFIUS statute to block a foreign acquisition prior to consummation of the transaction.

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