Major Regulatory Approvals for Cross Border Acquisitions

Published on: 12 March 2018 Last Updated on: 06 November 2024
Cross Border Acquisitions

Cross-border acquisitions can be impacted by a wide range of factors, so it is essential to develop a comprehensive framework for dealing with all the aspects of the acquisition process. Such a framework was presented last year at the Spring CLE ACC event. The presentation was put together by Jason Rabbitt-Tomita and Carrie LeRoy, two partners at White Case, one of the most prestigious international law firms. Their framework included all aspects of such a transaction from the processes and the timing, to due diligence, intellectual property matters, employment considerations, dispute resolution, and tax structuring. However, the largest segment of the presentation was focused on the major regulatory approvals required in international acquisitions, as these are usually the most time consuming and the most challenging processes in cross-border transactions.

Antitrust :

In regards to the antitrust laws meant to promote fair competition for the benefits of the consumers, cross-border deals can be subject to numerous reviews in different jurisdictions. As such, the buyers must be prepared to engage the Antitrust counsel and present the worldwide turnover of the target company. It is essential to identify possible antitrust risks and concerns and be prepared with prompt solutions

CFIUS :

The Committee on Foreign Investment in the United States can put major obstacles in the path or a cross-border acquisition, especially when it comes to tech companies. The major focuses of the CFIUS reviews are threats, vulnerability and risk profiles. In other words, they analyze whether foreign acquirers can exploit vulnerabilities or cause harm in matters of national security. The CFIUS approval process usually consists of consultations and other preliminary work, an initial 30-day review, a 45-day investigation, and a 15-day presidential review.

Regulatory approvals in the People’s Republic of China :

At the moment China is the biggest competitor of the California tech scene, but Chinese investors must jump through a lot of hoops to play in international markets.

  • SAFE – The State Administration of foreign exchanges is in charge of all foreign exchange matters in China. Chinese purchasers must register all outbound investments to convert RMB to foreign currency and make outbound transactions and remit foreign currency. This registration is dealt with after dealing with MOFCOM and NDRC.
  • MOFCOM – China’s Ministry of Commerce of their local offices must approve foreign investors for certain industries such as telecommunications, media, education, theme parks, and a few others.
  • NDRC – The National Development and Reform Commission must approve all outbound investments of more than US$300 million from China. This approval can easily be gained with merely a formal filing, as long as it does not involve sensitive countries or industries.

Other regulatory approvals :

As we already mentioned, each country can require different regulatory approvals for foreign investors, so it is essential to analyze from the start whether or not the transaction can be consummated under said country’s legislation for the target industry. It is very common for multinational companies to close certain countries separately. For example, transactions in India often delay worldwide transactions and are often signed separately. This can also happen in France, where employee consultation requirements call for binding offers, specifically created for the French subsidiaries.

Read More :

  1. Things To Do In Israel That You Must Know

  2. Finding The Right Moving Company

Content Rally wrapped around an online publication where you can publish your own intellectuals. It is a publishing platform designed to make great stories by content creators. This is your era, your place to be online. So come forward share your views, thoughts and ideas via Content Rally.

View all posts

Leave a Reply

Your email address will not be published. Required fields are marked *

Related

Best Movies Which You Should Know On Max Right Now

The Names Of Best Movies Which You Should Know On Max Right Now  

When it is one of the most popular streaming platforms, then Max is one of them. This website has many movies from every genre, including Hollywood classics, recent releases, etc. In 2020, Warner Bros. has already combined the streaming wars with HBO Max, and this offers a large catalog of movies. Here is the list of the best movies on Max Right Now 1) Fantastic Mr. Fox American non-stop motion animated comedy film directed by Wes Anderson is Fantastic Mr. Fox. This movie is one of the best movies ever. The release date of this movie was November 19, 2009. Right now, this is one of the best movies. https://twitter.com/TheCinesthetic/status/1711865897642852818?s=20 2) The Shining A 1980s horror movie which was produced and directed by Stanley Kubrick. This article was co-written with the famous novelist Diane Johnson. This movie is based on Stephen King’s. Jack and his family have moved into an isolated place with a violent past. ‘The Shining’ was distributed by Warner Bros. Pictures, Columbia Pictures, etc. https://twitter.com/WickedNFine/status/1708699128283160899?s=20 3) Ex Machina It is a 2014 science fiction movie, one of the most popular movies on Max. A young programmer known as Caleb Smith gets the chance to become part of a strategic scientific experiment. The director of this movie was Alex Garland. The entire budget was 1.5 crore USD. https://twitter.com/jaquelyndelrey/status/1712878454700757321?s=20 4) The Wizard Of Oz The 1939 American musical fantasy movie Metro-Goldwyn-Mayer produced is very popular. The name of this movie is ‘The Wizard Of Oz.’ The release date of this film was 1952, on January 6. Warner Bros Loews Cineplex Entertainment distributed this movie. Aside from the movies mentioned above, there are movies like 2001: A Space Odyssey, Singin’ in the Rain, Raging Bull, Pulp Fiction,  Parasite, and many others.   https://twitter.com/HTownRocket78/status/1712956035827171808?s=20 Keep Reading: Watch Online Movies For Free On Gomovies! Guardians Of The Galaxy 3: Is This The End Of The Cosmic Adventure? 

READ MOREDetails
Patent

Evolution of the U.S. Patent System

Patents have actually existed since the 1300s when an inventor was granted a right to a monopoly. While the specifics of the grants, the complexity of the issuing process, and the number of patents that exist have greatly expanded, the principle idea of the right has not changed significantly. However, we now have a robust industry of patent attorneys like Tampa’s The Patent Professor, a profession you probably wouldn’t have stumbled across in the Medieval times. Read more below about the evolution of the United States patent system to what we know it to be today: The Colonial Period: In the Colonies, there was no set patent process or a centralized patent office, since each colony operated essentially as a completely individual territory under the British monarchy. However, each colony issued “patents” on a case-by-case basis, with the first being issued to Samuel Winslow by the Governor of Massachusetts in 1641. Winslow was granted a 10-year monopoly on a particular method of harvesting salt. Adoption of the US Constitution: In Article 1, Section 8 of the United States Constitution, there is a provision that specifically addresses the protection of intellectual property. This was the first official mention of a patent in US documentation and signaled that the United States would support innovation with legal tools that allowed term-limited “monopolies” on registered inventions. The Patent Acts: 1790: 3 years after the adoption of the US Constitution by the newly formed United States, the Patent Act of 1790 was passed. It gave limited protections, a short, 14-year term for protection, and was found to be fairly unsatisfactory to most concerned citizens of the new country. It would only last a few years before being replaced. 1793: In 1793, the modern definition of a patent was introduced, and the application process was simplified. This Patent Act stood for over 50 years and granted over 10,000 patents before being updated once more. 1836: In 1836, a new Act was passed that formally established the United States Patent Office, whereas previous patent applicants had to appeal directly to the Secretary of State (and in the first Patent Act, to the Attorney General and Secretary of War as well). In addition, it created a database of all existing patents, available in public libraries, so that people could research before submitting their application to ensure that it was a truly original idea. Finally, it created the option for patent holders to extend from 14 to 21 years in some cases. Depression and Anti-Patent Sentiments: In the 1890 Depression, and again during the Great Depression, US citizens held an exceptionally negative attitude towards patents, and these sentiments led to the establishment of antitrust laws. These laws created limitations on the monopolies that major corporations were able to form and gave power back to the smaller players of the industry. The Modern United States Patent and Trademark Office: The Patent Act of 1952 created the current patent system as we know it today. It added additional stipulations for the final approval of a patent, such as ways that it could be infringed, explaining how it is useful and non-obvious, and other details that are still present in the application process to the USPTO. Patent law is constantly evolving, and as more patents and new technologies develop, you can be certain that they will continue to evolve, even more rapidly as the rate of innovation increases. Read Also: Tips To Improve The Onboarding Process At Your Company Preparing For Your Initial Consultation With An Immigration Lawyer

READ MOREDetails
Taylor Swift Announced Release And Streaming Of “Eras Tour” Movie On Her Birthday

Taylor Swift Announces “Eras Tour” Movie Release on Birthday

Swifties are the happiest people in the world right now! When Taylor Swift wrapped her concert tour in Brazil, she announced that her concert movie “The Eras Tour Concert” would be available for streaming on and after December 13th! It is her birthday on December 13th! The coolest marketing move, if there ever was one, is this. This year has been one of the biggest ones for Taylor Swift; from winning the title “Artist of the Year” by Apple Music to re-recording two of her previous albums, she is doing it all. https://twitter.com/taylorswift13/status/1729130503712743596?s=20 The Eras concert tour has set many records and become one of the biggest blockbusters, setting several box-office records! One of her most popular albums, 1989, which had several records, was re-recorded by her again, further adding to her achievements and success. Taylor has not only created a huge fan following worldwide but has also proved herself time and again to be intelligent, smart, and highly talented. She went on to announce that three songs, “Wildest Dreams,” “Long Live,” and “The Archer,” are added to the concert movie streaming for you at home. The beautiful American singer has also announced that the different countries across which the streaming will be available will also be announced soon! In her statement, she mentioned Canada, apart from the US, where people could stream her Era Concert movie. https://twitter.com/usweekly/status/1729153242729251278?s=20 With a master-level marketing strategy, Taylor has created another opportunity to earn from the content she did once while performing in the concert. Around the world, Swift had sold out stadiums, and people had paid for tickets. Then she released the concert movie across theaters, where people paid money to see her perform. Now, people will be paying for it again while steaming the performance while sitting in the confines of their home. The streaming platforms that will benefit from this development are Amazon Prime Video and Apple TV.So, people pay three times for the same content and are not complaining! What a move, Swift! Learn More About: Taylor Swift Postpones Rio Concert Following Fan’s Death: Safety Concerns  This Is Why Taylor Swift Sends Kelly Clarkson Flowers After Every Re-Recording

READ MOREDetails