March 8, 2001–Veldhoven, The Netherlands–ASM Lithography Holding N.V. (ASML) and Silicon Valley Group, Inc. (SVG) yesterday confirmed that the U.S. Committee on Foreign Investment in the U.S., chaired by the U.S. Treasury Department, has notified the parties that it will conduct a 45-day review, under the Exon-Florio review process, of the potential national security concerns associated with the planned merger of San Jose, CA-based SVG with ASML, located in The Netherlands.
“We are obviously disappointed by this brief delay, but pledge to work closely and cooperatively with the U.S. government in its review,” says Doug Dunn, chief executive officer of ASML. “We are optimistic that upon completion of this review, we will be in a position to close this merger promptly.”
Exon-Florio is the common name for the review process the U.S. government uses to screen acquisitions of U.S. companies such as SVG by foreign entities such as ASML. The review, which is performed by the Committee on Foreign Investment in the U.S., is authorized by the Exon-Florio Amendment to the Defense Production Act of 1950. Successful completion of an Exon-Florio review will provide a safe harbor for the transaction from any U.S. governmental interference based on national security concerns.