The biggest difference between cross-border and domestic
M&As lies in that the former involves two or more
jurisdictions. An acquirer of cross-border M&A, therefore,
needs to be prepared for an increasing number of, and much more
challenging, risks. Having a good understanding of the legal and
policy environment in the target country, and in the world,
identifying significant potential risks in a timely manner, and
implementing proper risk controls accordingly is the precondition
to a successful overseas M&A. Key considerations in this regard
include, but are not limited, to the following:
Foreign investment review system
After decades of globalization and economic
internationalization, many countries/regions have established a
policy and legal system for foreign investment review. Explicit
provisions are formulated and specialized agencies are designated
to undergo foreign investment review procedure. Restrictions on
foreign investment are internationally
