Wingtech invites Nexperia custodians to talks on control of the company

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AMSTERDAM, Dec 10 (Reuters) – Wingtech, the Chinese parent company of Netherlands-based chipmaker Nexperia, said on Wednesday it has invited the court-appointed custodians of the Dutch firm for talks on control of the company, a possible first step toward easing relations.

Nexperia’s European arm has been at odds with its Chinese parent and Chinese operating subsidiaries since the Dutch government intervened in September, followed by a court decision that removed Wingtech founder Zhang Xuezheng as Nexperia’s CEO over worries he planned to move production to China.

The dispute has caused shortages of chips and production problems for global automakers. While the Chinese and Dutch governments eased restrictions on Nexperia, court fights and an internal battle are continuing.

DISAGREEMENT ON WHAT TO TALK ABOUT

A spokesperson for Nexperia BV said the company was aware of the invitation, which follows its own call for talks with its Chinese operations in late November, but it had seen “no indications of any willingness to engage in meaningful discussions on the restoration of the supply chain”.

While Nexperia wants to discuss restoring normal operations, Wingtech said on Wednesday that ownership and control questions must come first.

“(The) core prerequisite and fundamental basis for resolving Nexperia’s current governance impasse is the restoration of Wingtech’s lawful control,” it said in a statement. 

Arnold Croiset van Uchelen, the lawyer appointed as custodian of Nexperia’s shares, confirmed he and court-appointed non-executive manager Guido Dierick had received a letter from Wingtech.

“We have indeed received an invitation like that, and we’ll respond shortly,” he told Reuters. “We’re available for a conversation, but about the who, what and where, we’re not disclosing that in the media.” 

Nexperia’s Chinese packaging arm has declared independence and is seeking to replace European chip wafers with others made in China. The European production arm has halted wafer shipments to China, citing nonpayment. Stockpiles of the company’s chips are dwindling and the car industry fears shortages may re-emerge in January.

(Reporting by Toby Sterling, writing by Louise Breusch Rasmussen, editing by Benoit Van Overstraeten, Alexander Smith and Tomasz Janowski)