Push to acquire western technology has faltered in recent times, but coronavirus provides a new opportunity for the Red Dragon

To its backers in Beijing, it seemed like the perfect smokescreen – and the ideal moment to launch a politically sensitive boardroom coup.

With British politicians distracted by a pandemic, surely nobody would pay attention when a Chinese state-controlled fund sought to cement its control over one of the UK’s most innovative technology companies?

In reality, the attempt earlier this month by China Reform Holdings to redomicile Imagination Technologies, a Hertfordshire company that controls 30 years’ worth of valuable semiconductor patents, to China by appointing four new board members turned out to be a clumsy and embarrassing flop.

Within days, a flurry of top resignations from the company had prompted a backlash from politicians on two continents. For the time being at least, the response has scuppered the plan.

MPs ordered an inquiry into the proposals, while America’s powerful Committee on Foreign Investment in the US (CFIUS) has also started making enquiries about China’s intentions.

Imagination, whose graphic processing units (GPUs) are found in a third of the world’s mobile phones, or 11 billion devices, and 40pc of cars, has close relationships with Apple.