Chinese LED chipmaker’s purchase of Dutch firm collapses after US opposition

The failed Lumileds deal highlights the growing hurdles Chinese tech firms face in overseas acquisitions under tightening US policy.

China’s leading LED chipmaker and its Malaysian partner have abandoned their US$239 million cash offer to purchase Dutch technology company Lumileds Holding after opposition from US authorities, marking the latest setback for Chinese tech investment overseas following the high-profile Nexperia saga.
Sanan Optoelectronics, listed in Shanghai, said in a disclosure announcement on Friday that despite multiple rounds of discussions, the Committee on Foreign Investment in the United States (CFIUS) determined the transaction would pose “irresolvable US national security risks” and asked the firms to withdraw their filing and abandon the transaction.

“Accordingly, on April 17, 2026, the parties submitted a letter to CFIUS withdrawing the filing and voluntarily abandoned the transaction,” the statement said.