Bill no. 7885 establishing a national screening mechanism for foreign direct investments likely to endanger security or public order – 8 December 2021

Bill no. 7885 establishing a national screening mechanism for foreign direct investments likely to endanger security or public order (hereafter, the “Bill 7885”)

The purpose of Bill no. 7885 is to implement the Regulation (EU) 2019/452 of the European Parliament and of the Council of 19 March 2019 establishing a framework for the screening of foreign direct investments in the European Union (“Regulation (EU) 2019/452”).

As highlighted in the preamble of the Regulation (EU) 2019/452, the investment activity of foreign investors in the European Union (hereafter, the “EU”) is generally seen as beneficial. However, it cannot be excluded entirely that certain investors (i) aim to acquire participations in companies and entities having their registered office in an EU member state to access technologies, knowledge goods or services, which are essential for the security interest of an EU member state or (ii) intend to receive significant influence over a company or entity having its registered office in an EU member state with strategic importance for the EU or the respective EU member state and which could hence compromise the national security of the EU member state.