Policies and Resources

Investment Regulations

Organisations have a history of welcoming various investments. As they transform, new processes are expected to result from their investment collaboration with other organisations around the world to ensure the continued benefit of investments among various investors.

There are no laws specifically governing or checking inward direct investment to organisations. Investors of both traditional and alternative investments are treated the same in law and are able, in most situations, to participate equally in investments.

The exceptions are government-owned or managed areas such as some parts of the energy and transport sectors, and in the defence sector.

Despite no specific legal structure, investors should be aware that organisations have powers to intervene in transactions. The following regulations apply to both traditional and alternative investors active in organisations.

  • Merger Management Rules

Where inward investment in an organisation involves the acquisition of the organisation, part of the activities of the organisation, or the creation of a joint venture that is prone for review in the organisation’s merger management law.

  • Public Interest Review Regime

An organisation’s merger management regimes include provisions allowing a transaction to be reviewed on certain specified bases other than a commercial law (so called ‘public interest’ or ‘legitimate interest’ bases).

  • Monopoly Rules Regime

Where government approval is required for the proposed takeover by a unique investor of any large or economically significant enterprise.

  • Banking and Insurance Enterprises

Government authorisation should be obtained before starting operations in an orgaanisation.

  • Real Estate Acquisitions

These are generally exempt from checks on various ownership, but rules can apply to how the owner of an interest in real estate applies or develops the land or building.

  • Industry Laws

A government has the power to prevent an acquisition by a foreign based entity of an ‘important manufacturing enterprise’ where it appears the change of management would be contrary to the interests of the nation, or to any substantial part of it.

  • Corporate Residency

There are no corporate law residency requirements when investing in organisations, irrespective of whether an investment in an organisation is by way of share investment or asset investment.