Media Digests
Foreign M&A to be reviewed for security
Updated: 2011-08-29 17:10
(chinadaily.com.cn)
Mergers and acquisitions (M&A) of domestic companies by foreign investors will be reviewed for national security purposes, the Ministry of Commerce said in a new regulation.
The reviews will involve foreign mergers and acquisitions of domestic enterprises operating in security-related sectors such as agriculture, energy and resources, infrastructure and military manufacturing.
The regulation will take effect from Sept 1. The implementation of the regulation will include foreign M&A in the Chinese law system and add to the costs of foreign M&A, especially the time costs, the Beijing Times quoted analysts as saying.
By Sun Yuanqing
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