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Draka acquisition by Xinmao could lead to US investigation

Friday 26 November 2010 | 11:30 CET | News
An acquisition of Dutch cable producer Draka by Xinmao could lead to a US government investigation, het Financieele Dagblad reported. Draka's US unit Cableteq has a contract with the US armed forced, including wiring in aircraft carriers. Companies are not required to notify the Committee on Foreign Investment in the United States (CFIUS) over merger plans but a failure to report can create problems. In a worst case scenario, the US government could reverse the takeover decision. The FD said Draka is gettign more information about Xinmao in order to assess the last bid.

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Categories: Fixed / Internet
Companies: Draka / Xinmao
Countries: Netherlands
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