Chinese court freezes $300 million of Nexperia assets in Wingtech case

By Eduardo Baptista

BEIJING, Aug 31 (Reuters) – A Chinese court has frozen up to 2.14 billion yuan ($300 million) of assets held by Dutch chipmaker Nexperia and its equipment arm, in ​a case brought by the firm’s Chinese owner, electronics ‌group Wingtech Technology.

Wingtech was stripped of control of Nexperia last year by the Dutch authorities. The dispute has strained relations between China and the Netherlands and threatened global supplies of chips used in cars and consumer electronics.

The Chinese ‌court ​action gives Wingtech fresh leverage in its ⁠effort to regain control of ⁠Nexperia, though it does not change the company’s management or resolve the broader ownership fight.

The dispute began a year ago when the Dutch government intervened at Netherlands-headquartered Nexperia, citing concerns that ​technology, funds and production assets could be transferred abroad. A Dutch business court later suspended Nexperia’s chief executive and put ⁠voting rights tied to Wingtech’s shareholding under ⁠independent management.

China responded with export controls on Nexperia’s ​China operations, disrupting shipments. After talks between Beijing and The Hague, China ​agreed to allow supplies to resume and the Netherlands ‌suspended its order.

But Wingtech has not recovered the voting control it lost, leaving the underlying corporate dispute unresolved.

Wingtech and a subsidiary sued Nexperia, its equipment arm, Nexperia’s parent and three executives in May. ⁠They allege the defendants carried out or helped carry out what Wingtech called discriminatory Dutch restrictions, and seek 8 billion yuan in damages.

The Dongguan ⁠Intermediate People’s Court ‌ordered the freeze, Wingtech said in a filing. ⁠The case has not yet gone to trial.

The ​order ‌covers Nexperia’s stakes in four China-based businesses, including ​its semiconductor operations ⁠in China, Wuxi and Shanghai, as well as its equipment arm’s wholly owned Wuxi unit. The measures took effect between August 20 and August 25, and run until August 2029.

Nexperia and its equipment arm did not immediately respond to requests for comment.

(Reporting by Eduardo BaptistaEditing ​by Peter Graff)