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ARTICLE · 01 MARCH 2019

Foreign Investment Review And National Security

Since 2015, the Canadian Government has raised the threshold for "net benefit to Canada" reviews from CA$600 million in the target's enterprise value to CA$1.568 billion for investors from

CanadaGovernment, Public Sector

Liberalization of review thresholds for private sector investors

Since 2015, the Canadian Government has raised the threshold for "net benefit to Canada" reviews from CA$600 million in the target's enterprise value to CA$1.568 billion for investors from trade agreement countries, such as the US, Europe, Singapore, South Korea and Japan, and to CA$1.045 billion for investors from World Trade Organization countries. A reviewable transaction requires approval of the Minister of Innovation, Science and Economic Development (ISED), or the Minister of Canadian Heritage (in the case of cultural businesses), on the basis that it will lead to "net benefit" in relation to factors such as the level of Canadian employment, participation of Canadians in senior management, head office location, and level of capital expenditures in Canada. 

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