"CFIUS Annual Report Highlights Chinese Investment and Signals Tougher Reviews"

The Committee on Foreign Investment in the United States ("CFIUS") recently released its Annual Report to Congress.  CFIUS is an interagency committee responsible for reviewing foreign acquisitions of U.S. businesses that may present national security concerns – including foreign acquisitions of non-U.S. companies that control U.S. businesses.

This Stroock Special Bulletin looks at the highlights from the Report, including the unprecedented increase in transactions by Chinese acquirers, heightened scrutiny by CFIUS, increased notices for the mining, utilities, and construction sector, and the first-ever listing of real estate transactions. The Bulletin discusses future trends and the importance of considering a CFIUS filing at the early stages of structuring a transaction.