Key CFIUS Developments: Lessons From Recent CFIUS Decisions and the CFIUS Overhaul

Preparing for Reviews, Navigating Investigations, and Negotiating and Understanding Mitigation

Recording of a 90-minute CLE video webinar with Q&A

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Conducted on Wednesday, October 14, 2020

Recorded event now available

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Course Materials

This CLE course will guide counsel to U.S. businesses that are considering accepting foreign investments and foreign companies looking to invest in the United States about how best to address the Committee on Foreign Investment in the United States (CFIUS) issues. Our speakers will discuss lessons from recent CFIUS decisions, emerging trends, and the impact of the changes to the CFIUS process. The panel will offer best practices for companies navigating the CFIUS process.

Description

The CFIUS process has become increasingly crucial as CFIUS reviews reached record numbers in recent years and can have a substantial impact on cross-border deals. The Foreign Investment Risk Review Modernization Act (FIRRMA) was enacted in 2018, representing the first statutory overhaul in over a decade and making fundamental changes to CFIUS' authority and process. Comprehensive regulations implementing FIRRMA took effect in February, and CFIUS has continued to make additional changes since.

Our panel will provide a close examination of recent regulatory developments and trends, offering insights for counsel on the impact of CFIUS on businesses in today's environment. Also, our panel will discuss the effect FIRRMA has had and what investors can expect.

Counsel must understand the breadth of what can be deemed relevant to national security and the range of possible mitigation measures should CFIUS have concerns about a transaction. Investors must consider potential CFIUS issues in any case involving foreign direct investment into the U.S., especially if the investor is from a country viewed with heightened scrutiny or the target U.S. business is in a sensitive business area.

Listen as our authoritative panel of experienced practitioners discusses the latest CFIUS developments, examines recent transactions, highlights industries of particular CFIUS interest, and assesses the impact of FIRRMA. The panel will offer best practices for navigating CFIUS issues in the pre-deal period, during the CFIUS process, and post-transaction considering the added complexities implicated by these developments.

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Outline

  1. Key CFIUS developments and their implications
  2. Navigating the CFIUS process
    1. Assessing and assigning the risk
    2. Strategic deal structuring
    3. Mitigation negotiation
  3. Business impacts
    1. Closing before approval
    2. Operating with mitigation
    3. Follow-on transactions and corporate citizenship

Benefits

The panel will review these and other key issues:

  • What are the lessons for counsel from recent CFIUS decisions and other relevant developments?
  • Will it become more difficult to get clearance for acquisitions that raise national security concerns under FIRRMA?
  • What steps should counsel and companies take to comply with the regulations and address potential issues when considering foreign investment opportunities in the United States?

Faculty

Donahue, Jack
Jack F. Donahue

Managing Director
Accenture Strategy

Mr. Donahue is an executive in Accenture’s strategy consulting practice where he works with the leaders of Tech...  |  Read More

Mildorf, Karalyn
Karalyn Mildorf

Partner
White & Case

Ms. Mildorf is a partner in the firm’s National Security and CFIUS practice, focusing her practice in the areas...  |  Read More

Walker, Andrew
Andy M. Walker

Partner
Accenture Strategy

Mr. Walker is a strategy consultant and advisor to clients who are working to understand the business and financial...  |  Read More

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