Magnachip dips after hours as Wise Road deal under formal CFIUS review

• Magnachip Semiconductor (NYSE:MX) fell almost 1% in after hours trading after the company said Wise Road's planned acquisition will require a review by the Committee on Foreign Investments in the U.S ("CFIUS"), according to an 8K filing.
• Magnachip disclosed in the filing that it received an e-mail from the U.S. Department of Treasury on May 26 requesting that the parties files notice with CFIUS.
• Magnachip said that while it continues to believe that there shouldn't be any regulatory approvals required in the U.S., it plans to cooperate with CFIUS by filing a joint voluntary notice with the agency.
• The disclosure comes as the deal has been the subject of much speculation in recent months on concerns that the deal could be blocked in Korea if the Korean government decides that its assets are considered to be "national core technology."
• Earlier today Magnachip shares were weaker after a report that South Korea is reviewing the Wise Road deal.
• Yesterday, Magnachip rose on a report that Korea was more likely to allow the Wise Road deal.