Chile: SQM claims corporate secrets safeguarded from China

Chile’s SQM, the world’s second largest producer of lithium, has taken measures to protect sensitive information from China’s Tianqi, which recently acquired a 23.77% share of the company.

A Chilean antitrust court approved the transaction, but placed conditions on the sale that limit Tianqi’s access to SQM business secrets. Additionally, Tianqi was not to be allowed to name any of its executives or employees to SQM’s board. The company was also told it would have to notify regulators of any future, lithium-related deal with either the Chilean producer or rival Albemarle.

SQM on Wednesday, January 23, announced its board had approved additional measures to safeguard company secrets.

The lithium miner told financial regulator CMF that all requests for sensitive information by a board member “appointed by a shareholder who is also a competitor” would first be routed through SQM’s CEO, and then shared with Chilean antitrust regulators.

The CEO would be authorized to deny access to business secrets, but only on the order of the regulator.

Full Content: Reuters

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