UK seeks powers to block foreign investment on national security grounds
The proposed Bill will present a potential hurdle for boards looking at investment or acquisition from an overseas suitor.
Image: NESPIX/Shutterstock
Just as observers expect M&A activity to spike because of the pandemic, the government has announced it intends to push ahead with introducing new powers that will allow foreign investment to be blocked on national security concerns.
Driven in part by the increasing investment activity emanating from China, the Bill introduced in Parliament this week will apply to investments originating from any country. It will give deal teams and boards pause for thought and present new considerations when looking at investment or acquisition from an overseas suitor.
According to business secretary Alok Sharma, the new measures update existing po
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