Chinese investors set sights on chip producer

US digital imaging chipmaker OmniVision Technologies Inc said it received a buyout proposal from a group of Chinese investors, including a State-owned firm.

The proposed buyout values OmniVision at about $1.7 billion, but would almost certainly face scrutiny from the Committee on Foreign Investment in the United States if the Santa Clara, California-based company accepts it.

Attempts by Chinese firms to buy US technology companies in the past have faced immense scrutiny, especially due to cybersecurity concerns and fears of transfer of technology that could be used for military purposes.