Calfee Connections

For companies that wish to receive manufacturing incentives in connection with the CHIPS and Science Act, the newly created CHIPS Program Office (CPO) at the U.S. Department of Commerce will begin accepting applications this spring.

Transactions between private companies (and in some contexts where public companies are involved as well) very often include an “adjustment” to the purchase price paid by the buyer of the business. While the components of a purchase price adjustment can take many forms depending on the deal structure and the valuation method that the parties have agreed upon, the general goal of such adjustments is to ensure that the purchase price for the deal reflects the target company’s financial condition at closing.

The latest episode of Calfee NOW features a conversation between Congressman Mike Carey (R-OH, 15th District) and Calfee Government Relations and Legislation group members Dan Reinhard, Jamie Gregory, and Nick Bush.

While semiconductor manufacturers, local governments, and economic development entities await the guidance, rules, and application format for these incentives from the U.S. Department of Commerce, there are steps that companies can begin taking to shape their project to be competitive toward the national effort to bolster the U.S. semiconductor ecosystem and provide for a skilled workforce necessary to drive innovation for the next generation.

With billions of dollars in financial assistance available under the CHIPS and Science Act (CSA), companies should ensure they have a working understanding of the CSA, which is viewed as the catalyst for Intel’s decision to build multiple semiconductor fabrication plants northeast of Columbus, Ohio.

Semiconductor chip manufacturer Intel Corporation has announced plans for a massive expansion into Ohio, intending to make an initial investment of more than $20 billion in the construction of two new leading-edge chip factories near Columbus. This investment (and recent federal legislation such as the CHIPS and Science Act, which provides over $50 billion in federal incentive funding and tax credits to help the American semiconductor industry reshore manufacturing and invest in the next generation of technology) represents an exceptional opportunity for Ohio residents and companies, though there may be some unique challenges tech companies could face when starting or growing operations in the Buckeye State.

On the latest episode of Calfee NOW, Leah Pappas Porner, Chair of the firm's Government Relations and Legislation practice, and Michael Bowen, Associate Attorney with the firm's Government Relations and Legislation practice group, spoke with Ohio State Representative-Elect Steve Demetriou.

Thanks to the passage of the CHIPS and Science Act, aimed at encouraging more investment in the tech sector to help produce more semiconductor chips here in the U.S., companies large and small are considering how to invest in the next generation of semiconductor manufacturing and considering lucrative federal incentives as a catalyst to this growth.

In addition to identifying the impact of intercompany transactions and avoidable transfers that may arise in the FTX case, crypto-related bankruptcies typically present unique challenges to creditors and customers. 

On the latest episode of Calfee NOW, Calfee Senior Counsel Raymond Tarasuck and Associate Michael Bowen, both with the firm's Government Relations and Legislation practice group, spoke with Cuyahoga County Executive-elect Chris Ronayne.