State-owned Assets Supervision and Administration Commission of the State Council, Measures for Regulation of the Overseas Investments of Enterprises under the Central Government
国务院国有资产监督管理委员会中央企业境外投资监督管理办法
February 21, 2017 | BY
Susan Mok &clp articles &SOEs encouraged to engage foreign intermediaries for outbound investment consulting.
Promulgated: January 7 2017
Effective: as of date of promulgation
Main contents: With respect to a new overseas investment project, the professional services of domestic and foreign intermediary firms shall be taken full advantage of so as to carry out extensive feasibility study and argumentation in terms of technology, market, finances, legal matters, etc. For equity investment projects, the necessary due diligence shall be carried out and the asset appraisal or valuation procedure shall be carried out as required (Article 13).
For the overseas investment projects of enterprises under the central government, state-owned capital investment or operating companies, as well as private investment firms, local investors and international investment firms shall actively be brought in to take an equity stake.
With respect to a particularly major offshore investment project, an enterprise under the central government shall establish a pre-investment decision risk assessment system and engage a qualified independent third-party consulting firm to carry out a comprehensive assessment of the political, economic, social, cultural, market, legal, policy and other such risks presented by the country (region) where the investment is to be made (Article 25).
Related legislation: Tentative Measures for Regulation of Overseas Investments of Enterprises Directly under the Central Government, 2012
clp reference:2130/17.01.07 promulgated:2017-01-07 effective:2017-01-07Promulgated: January 7 2017
Effective: as of date of promulgation
Main contents: With respect to a new overseas investment project, the professional services of domestic and foreign intermediary firms shall be taken full advantage of so as to carry out extensive feasibility study and argumentation in terms of technology, market, finances, legal matters, etc. For equity investment projects, the necessary due diligence shall be carried out and the asset appraisal or valuation procedure shall be carried out as required (Article 13).
For the overseas investment projects of enterprises under the central government, state-owned capital investment or operating companies, as well as private investment firms, local investors and international investment firms shall actively be brought in to take an equity stake.
With respect to a particularly major offshore investment project, an enterprise under the central government shall establish a pre-investment decision risk assessment system and engage a qualified independent third-party consulting firm to carry out a comprehensive assessment of the political, economic, social, cultural, market, legal, policy and other such risks presented by the country (region) where the investment is to be made (Article 25).
Related legislation: Tentative Measures for Regulation of Overseas Investments of Enterprises Directly under the Central Government, 2012
clp reference:2130/17.01.07 promulgated:2017-01-07 effective:2017-01-07This premium content is reserved for
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