business lines that are of interest to CFIUS should be prepared to negotiate mitigation measures and have a compliance framework in place to ensure obligations stemming from such measures are observed. On process, investors should continue to monitor KIP and other public CFIUS process reforms. Unless and until Treasury finalizes specific procedures, parties should not assume that KIP participation or internal process initiatives will shorten statutory timelines for a particular filing. For now, transaction parties should continue to build realistic CFIUS timing into deal documents and closing conditions. Finally, with the OISP now in effect, investors should monitor Treasury guidance, enforcement activity and COINS Act rulemaking. The regime is technical, fact-specific and likely to evolve. In particular, investors should monitor Treasury’s implementing regulations under the COINS Act, which are due by approximately March 2027 and are expected to operationalize expanded country-of-concern and technology-sector coverage. When contemplating a transaction, investors should conduct diligence to understand national security touchpoints on all sides of the transaction, including the investor, target, ownership chain, governance rights, technology, data, customers, supply chain and relevant foreign jurisdictions.
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FDI and National Security Review
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