Dear Friends,
Another bone-chilling Beijing winter has come and gone as spring brings clear skies and excitement for the Olympic games. Stressing transparency and democracy, last month’s legislative session brought about many changes, including new standards for many merger deals.
Any merger and acquisition that increases a Chinese or foreign company's market share to more than 25 per cent on the mainland will need government approval, according to draft rules posted on the website of the State Council. The 25 per cent threshold previously applied only to foreign companies under a law covering foreign takeovers of mainland firms. But the restriction will now apply to all companies as well as all industries.
Please do not hesitate to contact us if you have questions.
Best regards,
Edward Lehman
elehman@lehmanlaw.com
