Infineon’s $8.7 billion bid for Cypress could be blocked by the Committee on Foreign Investment in the US (CFIUS).

The proposed takeover of Cypress by Infineon was announced last June.

The news site for regulatory affairs, MLex Market Insight, reported that Infineon and Cypress have filed and pulled and refiled submissions to CFIUS  and a decision could come soon.

It is reported that CFIUS may want changes to the deal which the companies can’t accept.

Cypress shares fell 17% on the MLex report.

At last month’s earnings call Infineon CEO Reinhard Ploss (pictured) said: “We have a very good understanding about the requirements of U.S. government, what they expect and we are working together with them in order to resolve that. Our expectation is that we find a setup, which is supporting our revenue synergies.”

In 2017, Infineon tried to buy Cree’s Wolfspeed unit, which specialises in SiC and GaN ICs, but the bid was blocked by CFIUS.

CFIUS  also blocked Broadcom’s takeover of Qualcomm, the proposed sale of Lattice to Chinese-backed Canyon Bridge, and a Chinese attempt to buy Micron.