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China's New National Security Review Procedures for Mergers and Acquisitions Involving Foreign Investors: A New Hurdle for Foreign Investors or China Just Putting Existing Practice To Paper?

25 February 2011

China Alert
On 12 February 2011, the General Office of China's State Council released new rules to introduce a national security review system for mergers and acquisitions ("M&A") of companies within China involving foreign investors. In the Circular on Establishing the Security Review System for Mergers and Acquisitions of Enterprises within China involving Foreign Investors ("Security Review Circular") dated 3 February 2011, the State Council lays out a formal national security review process ("National Security Review") for various categories of inbound M&A transactions involving foreign investors. The Security Review Circular will come into effect 30 days after the date of its promulgation.

The team

Jun Wei

Jun Wei

Office Managing Partner

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