Nvidia’s $40bn deal for the UK-based chip designer Arm is facing fresh problems in China, after it emerged that the disaffected head of Arm’s local joint venture controls almost 17 per cent of its shares.
Company registration documents reviewed by the Financial Times show that Allen Wu, the chief executive of Arm China, assumed control of a key investment firm in November last year, and now controls four out of six of Arm China’s shareholders.
Two of the companies controlled by Mr Wu have filed lawsuits in Shenzhen to protest that he was wrongfully dismissed by Arm and its main partner in the joint venture, the private equity firm Hopu.
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