Applied Materials walks away from $3.5bn Kokusai Electric deal

Chinese regulator slow-walked approval of purchase by US chipmaking device leader

20210329N Applied

Applied Materials first agreed to purchase Kokusai Electric from KKR in July 2019. © Reuters

Nikkei staff writers

TOKYO/NEW YORK -- Top U.S. chipmaking equipment supplier Applied Materials said Monday it has abandoned a $3.5 billion deal to acquire Japanese peer Kokusai Electric from investment firm KKR owing to regulatory hurdles.

California-based Applied Materials "did not receive confirmation of timely approval from the regulator in China," according to a statement.

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