China Finalizes Regs For National Security Merger Reviews

Law360, New York (September 1, 2011, 5:54 PM EDT) -- The final Chinese policy outlining how regulators will review deals for national security concerns — on top of China's antitrust regulations — took effect Thursday, with a new provision warning foreign investors against trying to avoid scrutiny by restructuring transactions.

The Chinese Ministry of Commerce's updated regulations largely follow the proposal the agency issued earlier this year laying out how the country would examine deals that give foreign investors a stake in Chinese enterprises in a number of key sectors.

In February, the government set up...
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