France, similarly as many other countries, has recently tightened its legal regime with respect to foreign direct investment in the name of national security, encouraging investors to be increasingly vigilant. This requires being aware of the fundamentals of the control procedure.
There are three conditions for this procedure to apply :
The application for authorisation is filed by the investor. Within 30 days of receiving the application (phase 1), the Minister of the Economy makes his decision and states :
After receiving notice of the start of the second phase, another 45 working days period begins, at the end of which the investment is either refused or authorised, subject to compliance with certain conditions.
With regard to the aim of protecting national interests, the most common conditions relate to the governance of the target company or the implementation of measures to ensure the protection of information deemed sensitive and confidential.
In any event, be it during the application for authorisation or monitoring compliance with the conditions, meticulous preparation is required when the applications are submitted and dialogue with the Ministry of the Economy is ongoing.
This allows a pragmatic approach to be taken to this procedure.