On 24 June 2026, more than four years after the underlying events, Germany’s Federal Public Prosecutor General announced search measures in connection with a criminal investigation arising from the 2022 separation and attempted liquidation of the former German subsidiary of a major foreign state-linked energy group. What makes the case significant for FDI practitioners is straightforward: it is a forceful reminder that implementing a notifiable transaction without prior clearance is not merely a regulatory irregularity…
On 8 June 2026, the new EU Foreign Direct Investment Screening Regulation[1] was formally adopted by the Council, following the European Parliament’s approval on 19 May 2026. The Regulation was published in the Official Journal of the European Union on 26 June 2026. It will enter into force 20 days from that date and will apply from 17 January 2028. The revision is part of the EU’s economic security strategy[2] and represents the most significant…
In Brief On 8 June 2026, the Council of the EU approved the European Parliament’s position adopted on 19 May 2026, clearing the path for a new Regulation on the screening of foreign investments in the Union (the “Screening Regulation 2026”). The Screening Regulation 2026 will repeal and replace Regulation (EU) 2019/452 (the “Former FDI Regulation”), marking a complete overhaul of the EU’s foreign investment control framework. The Screening Regulation 2026 seeks to balance security…
On 8 June 2026, the Dutch government announced the expansion of the Dutch “broad” investment screening regime, the Vifo Act (Wet veiligheidstoets investeringen, fusies en overnames), by introducing six additional technologies to the list of highly sensitive technologies falling within the scope of the FDI / national security screening mechanism. The expansion is set to enter into force on 1 January 2027. The announcement is available here (in Dutch). First mentioned already in late 2024,…
Background In a rare and exceptional case, the Dutch government has used old legislation, originally intended to deal with national emergencies and threats, to intervene in the affairs of a private Dutch semiconductor company under Chinese ownership. On 30 September 2025, the Dutch Minister of Economic Affairs invoked the Goods Availability Act (Wet beschikbaarheid goederen) to mitigate perceived risks to national security in relation to semiconductor manufacturer Nexperia. The ministerial order was driven by serious…
On 8 May 2025, the European Parliament adopted an amended proposal to revise the EU Foreign Direct Investment Regulation (Regulation (EU) 2019/452) (the “FDI Regulation”), amending the proposal originally published by the EU Commission and significantly deviating from it in certain important areas. The FDI Regulation revisions will bring into force significant changes to the foreign investment screening landscape across all Member States. It will be essential for investors to seek regulatory advice early in the planning stages of a transaction involving one or more EU Member States in order to formulate a robust FDI regulatory strategy.
The summer period was marked by a particular focus and scrutiny by authorities on transactions involving investors from China, which is typically considered a “risk” jurisdiction from an EU FDI and FSR perspective. Four decisions highlighted below are an important reminder for companies to carefully asses the FDI and FSR risks when engaging with and receiving investments from Chinese investors. It shows that authorities can and do scrutinise the same transaction using different regulatory frameworks:…
Judicial review of FDI enforcement is rare in the Netherlands. In one of the first matters brought before a Dutch court, the broad retro-active ‘call-in’ powers of the Dutch Minister of Economic Affairs and Climate (‘Minister’), as provided for in the Act on Security Screening of Investments, Mergers and Acquisitions (‘Vifo Act’ or ‘Act’), were scrutinised and the Minister’s enforcement actions were effectively curtailed. The ruling from the District Court of Rotterdam (‘Court’) on 25…
Introduction: New FDI regimes with divergent approaches In February 2024, Bulgaria adopted a new FDI screening regime, while Ireland published guidance on its new FDI regime, which are expected to enter into force in June and September 2024, respectively. The two differing approaches of the two new regimes illustrate the inconsistency of substantive and procedural FDI rules across the EU. While the Bulgarian FDI regime employs a “catch-all” approach with low thresholds and broad powers,…
The start of 2024 has seen the European Commission announce a new EU-wide legislative proposal, and the Italian and UK governments both issued two noteworthy enforcement decisions. In the EU, the European Commission published a proposal to update the 2019 EU Foreign Direct Investment Screening Regulation. The aim of the reform is to enable a clearer and more open line of communication between a national FDI authority and companies that have submitted an FDI filing.…