The National Security Review Risks In Overseas M&A And Legal Countermeasures

Overseas mergers and acquisitions has increasingly become an important way forus Chinese firms to achieve rapid development and obtain the global marketcompetition advantage. But it must be recognized that truly successful cases are fewdespite of the ever increasing Chinese enterprises overseas M&A deals. There aresorts of risks or barriers that restrict the development of Chinese enterprises overseasmergers and acquisitions, of which National Security Review risk is the biggest.Based on above, this thesis aims to give suggestions for overseas mergers andacquisitions by Chinese enterprises to guard against national security review fromtarget nations.This paper is divided into five parts.The first part is foreword introducing the origin of this research, current researchsituation, study method and the significance of research.Part two mainly introduces the present situation and characteristics of Chineseenterprises overseas M&A and driving factors, and simple overview of the risk ofnational security review, which the prerequisites of putting forward countermeasuresare.Part three deals with the analysis of Aluminum Corporation of China’spurchasing the Rio Tinto Group and Huawei’s purchasing the3Leaf, and causes orreasons behind this.Part four is mainly about the analysis of national security review risks in theUnited States, Canada, Australia and Britain as representative examples, throughanalyzing their rules or laws relating to national security review.Lastly, this paper deals with a series of feasible countermeasures from two angelsof government and enterprises themselves.