UK launches Bill to stop 'Malicious' Foreign Takeovers

On Wednesday, Britain unveiled plans for new powers to prevent foreign companies from snapping up strategic assets in "malicious" takeovers that are deemed to threaten national security.

The UK Govt said that it's new National Security & Investment Bill will "protect (the) UK from malicious investment" & strengthen its ability to investigate & intervene in mergers, acquisitions & other types of deals.

The new powers come as increasing Chinese investment has sparked calls from UK lawmakers for PM Boris Johnson to take a stronger stance on Beijing.

The draft law is aimed at updating twenty-year-old legislation that is no longer sufficient to tackle modern threats, according to a statement from the Department for Business, Energy & Industrial Strategy.

The bill, which will be introduced before parliament on Wednesday, will compel companies to inform the Govt of merger & acquisition activity in sensitive sectors such as defence, energy & transport.

Business Secretary Alok Sharma in a statement said that "The UK remains one of the most attractive investment destinations in the world & we want to keep it that way".

Source Link