Foreign Investment Under a Microscope: Understanding CFIUS’s New Powers

In 2018, the U.S. government significantly expanded the powers of its interagency committee, the Committee on Foreign Investment in the Unites States (CFIUS), to review foreign investment in U.S. businesses.

U.S. companies that seek foreign investment may now have an obligation to obtain CFIUS approval for both controlling and non-controlling, non-passive investment. Technology transfers to foreign parties abroad and within the U.S. will also be restricted. U.S. companies that develop critical technology and emerging and foundational technologies face additional scrutiny.

The expanded authority makes it imperative for U.S. businesses that are seeking foreign investment or are involved in critical technology or emerging and foundational technologies to take a proactive approach towards compliance.

The presentation will review these and other key issues:

• What are the new CFIUS requirements?
• What transactions are covered?
• Which industries are targeted?
• What is critical technology and emerging and foundational technology and how is it regulated for export purposes?
• How should companies comply with the new requirements?