Foreign direct investment regulation is here to stay in the Benelux (and far beyond). It will soon be an inseparable part of the assessment framework for acquisitions and investments in vital and sensitive technology companies in most part of the European Union.
Many member States of the European Union (‘Elf') are developing protective rules that apply to (foreign) investors whose investments may impact national security or public order, and some of them already have such legislation in place. The Benelux countries belong to a group of EU member States in the middle of the pack that are on the verge of transposing 'Foreign Direct Investment’ (‘FDI’) regulation into national law.
Joost Houdijk and Marjolein Snoek discuss the scope of the proposed foreign direct investment legislation in Belgium, the Netherlands and Luxembourg, while also explaining how the FDI notification procedures in these jurisdictions work.
They also discuss the potential remedies which FDI enforcement authorities may propose in order to resolve objections to an investment, as well as sanctions they can impose on parties that are in breach of notification or standstill obligations.
Revue internationale du droit des affaires - Internationaal tijdschrift voor ondernemingsrecht (D.A.O.R.) 2023-1 (nr. 145), p. 3-14
Read the article here.
Foreign direct investment regulation is here to stay in the Benelux (and far beyond). It will soon be an inseparable part of the assessment framework for acquisitions and investments in vital and sensitive technology companies in most part of the European Union.
Many member States of the European Union (‘Elf') are developing protective rules that apply to (foreign) investors whose investments may impact national security or public order, and some of them already have such legislation in place. The Benelux countries belong to a group of EU member States in the middle of the pack that are on the verge of transposing 'Foreign Direct Investment’ (‘FDI’) regulation into national law.
Joost Houdijk and Marjolein Snoek discuss the scope of the proposed foreign direct investment legislation in Belgium, the Netherlands and Luxembourg, while also explaining how the FDI notification procedures in these jurisdictions work.
They also discuss the potential remedies which FDI enforcement authorities may propose in order to resolve objections to an investment, as well as sanctions they can impose on parties that are in breach of notification or standstill obligations.
Revue internationale du droit des affaires - Internationaal tijdschrift voor ondernemingsrecht (D.A.O.R.) 2023-1 (nr. 145), p. 3-14
Read the article here.