The Committee on Foreign Investment in the United States (CFIUS) is increasingly scrutinizing cross-border investments to assess their impact on U.S. national security. In recent years, CFIUS also has been more frequently exercising its authority to block, unwind or modify the terms of such transactions. Companies and investors in the aerospace, defense, information technology, software, semiconductor, manufacturing, government services and advanced materials industries need to be aware of these issues at the earliest stages of a transaction and take account of the CFIUS review process on deal prospects, valuation and timing.
Our Customs and International Trade Group has successfully advised foreign investors, U.S. companies and financial backers on a range of issues impacting CFIUS approval for deals involving everything from advanced export-controlled technologies to consumer products, telecommunications and transportation infrastructure. We work with clients at all stages of CFIUS reviews, from identifying and resolving potential roadblocks in the deal planning and pre-closing diligence phases to designing and implementing agreements to mitigate foreign ownership, control or influence (FOCI) in accordance with Defense Security Service (DSS) requirements.