THE proposed $5.6 billion takeover of home-grown chip-maker Chartered Semiconductor by an Abu Dhabi sovereign fund was overwhelmingly passed by shareholders on Wednesday, in spite of fiery exchanges between hostile minority shareholders and the company's board of directors.

Of the 665 shareholders who turned up at the extraordinary meeting, 83 per cent voted in favour of the divestment. These shareholders held nearly 99 per cent of the company's shares, far in excess of the 75 per cent approval level required.

Two months ago, the company announced that the Abu Dhabi government-owned Advanced Technology Investment Company (Atic) is offering $2.68 a share for its shares. Temasek Holdings, which is Chartered's single largest shareholder with a stake of 62 per cent, had then agreed to support Atic's offer.