The principal regime commonly known as the firb regime1 is set out in the following legislation. The foreign investment approval process in australia is regulated by the foreign acquisitions and takeovers act 1975 and the foreign acquisitions and takeovers regulations 2015. Foreign acquisitions and takeovers act 1975 cth barnet jade. This compilation was prepared on 15 december 2001 taking into account amendments up to act no. Foreign acquisitions and takeovers act 1975 table of provisions part 1preliminary division 1preliminary 1. Foreign person is defined by the foreign acquisitions and takeovers act 1975 commonwealth.
Some significant actions, called notifiable actions, must also. Foreign acquisitions and takeovers regulation 2015 cth. Pdf foreign investment, strategic assets and national. Overview of australias foreign investment approval firb. This is a compilation of the foreign acquisitions and takeovers act 1975 that shows the text of the law as amended and in force on 18 september 2018 the compilation date. The notes at the end of this compilation the endnotes include information about amending laws and the amendment history of provisions of the compiled law. Under australian commonwealth law the foreign acquisitions and takeovers act 1975 cth fata a foreign person explained below is required to make a formal written application.
For greater certainty, further to paragraph 2f of the explanatory notes to annex. Foreign acquisitions and takeovers act 1975 commonwealth. Foreign investment in australian agricul tural land and. This is the first comprehensive revision of the law since 1975 and involves four key pieces of legislation. Under the foreign acquisitions and takeovers act 1975 act certain actions to acquire interests in securities, assets or australian land, and actions taken in relation to entities being corporations and unit trusts and businesses, that have a connection to australia are defined as significant actions. Overview of the foreign acquisitions and takeovers act 1975 introduction this appendix provides an overview of the main provisions of the foreign acquisitions and takeovers act 1975 the act as at 28 february 2014. Foreign acquisitions and takeovers fees imposition regulation 2015 cth the fatl act repeals all substantive provisions and represents a major overhaul of the fata act, which had not been significantly amended since its enactment. This is a compilation of the foreign acquisitions and takeovers act 1975 that shows the text of the law as amended and in force on december 2019 the compilation date. Overview of the foreign acquisitions and takeovers act 1975 37 arrangements or agreements between shareholders and a corporation or controlling body that would enable a shareholder to exercise a measure of control, including through the provision of finance, technology, materials, markets and marketing or management expertise. Foreign interest 1 the seller acknowledges that the buyer is a foreign person within the meaning of the foreign acquisitions and takeovers act 1975 cth and clause 10. The foreign acquisitions and takeovers act 1975 act applies to certain actions by foreign persons, which include foreign governments. Relevant sections of the foreign acquisitions and takeovers act have been extracted in the document attached to this article. Overview of the foreign acquisitions and takeovers act 1975 65 arrangements or agreements between shareholders and a corporation or controlling body that would enable a shareholder to exercise a measure of control, including through the provision of finance, technology, materials, markets and marketing or management expertise.
Foreign acquisitions and takeovers act 1975 the act has been substantially recast with effect from 1 december 2015. Archer daniels midland companys proposed acquisition of graincorp limited today i have signed an interim order under the foreign acquisitions and takeovers act 1975 to extend the statutory time period for a decision on archer daniels midland companys proposed acquisition of graincorp limited. For greater certainty, further to paragraph 2f of the explanatory notes to annex i, the description element of each of australias entries in annex i is to be interpreted in accordance with the relevant cited sources of the nonconforming measures. Foreign acquisitions and takeovers amendment bill 2009 no. Foreign acquisitions and takeovers act 1975 federal register of. Introducing australias new foreign investment regime. Commonwealth of australia foreign acquisitions and. Foreign a cquisitions and t akeovers fees imposition act 2015, n o. Sep 21, 2018 an act relating to the foreign acquisition of certain land interests and to the foreign acquisition and foreign control of certain business enterprises and mineral rights.
This act may be cited as the foreign acquisitions and takeovers act 1975. Under section 18 of the act the federal treasurer can prohibit a foreign takeover or approve it subject to conditions where the acquisition is considered to be contrary to the. A discussion paper 3 finsia has embarked on a campaign to engage with our membership, and educate the wider community, about the importance of foreign direct investment fdi to the australian economy, and promote debate about the current regulatory framework for assessing fdi. Dec 14, 2016 an act relating to the foreign acquisition of certain land interests and to the foreign acquisition and foreign control of certain business enterprises and mineral rights. Simplified outline of this act division 2definitions subdivision adictionary of definitions 4. The entry into this agreement and the acquisition of the securities by the investor will not cause the investor to be in breach of the foreign acquisitions and takeovers act 1975 cth and will not require the receipt by the investor of any approvals, or the issuance by the investor of any notifications, under that act. Foreign acquisitions and takeovers act 1975 cth and the. The act and the foreign acquisitions and takeovers regulations 1989 the regulations provide legislative support for australia. Overview of the foreign acquisitions and takeovers act. An act relating to the foreign acquisition of certain land interests and to the foreign. Foreign acquisitions and takeovers notices regulations 1975. Register of foreign ownership of water or agricultural land act. Temporary changes to the foreign investment framework.
The governments policy should be considered in conjunction with the foreign acquisitions and takeovers act 1975 fata and the foreign acquisitions and takeovers regulations 1989. An act relating to the foreign acquisition of certain land interests and to the foreign acquisition and foreign control of certain business enterprises and mineral rights. Foreign acquisitions and takeovers act 1975 cth austl. Foreign acquisitions and takeovers act 1975 sect 4 dictionary of definitions in this act. The applicable foreign investment controls can be broken down into transactions involving. See also part 6 fees and section 5 manner of notification and application.
The key changes of note to property practitioners are. The entry into this agreement and the acquisition of the securities by the investor will not cause the investor to be in breach of the foreign acquisitions and takeovers act 1975 cth and will not require the receipt by the investor of any approvals, or the issuance by. Offshore takeovers and acquisitions under the foreign acquisitions and takeovers act 1975 act certain actions to acquire interests in securities, assets or australian land, and actions taken in relation to entities being corporations and unit trusts and businesses, that have a connection to australia are defined as significant actions. Table of provisions part 1preliminary division 1preliminary 1. Foreign acquisitions and takeovers act 1975 the act will require approval, regardless of value or the nature of the foreign investor. Dictionary of definitions subdivision bsome defined terms and rules of interpretation 5. Foreign investment in australia is regulated by the foreign acquisitions and takeovers act 1975 cth fata and associated acts and regulations and supported by australias foreign investment policy december 2015 policy, which outlines the australian governments approach to administering the foreign investment framework. The text of any of those amendments not in force on that date is appended in the notes section. The governments policy should be considered in conjunction with the foreign acquisitions and takeovers act 1975 fata and the foreign acquisitions and.
For example, the final section of the act the regulation. Significant actions and notifiable actions gn35 foreign. Australia foreign acquisitions and takeovers act 1975. Foreign acquisitions and takeovers act 1975 commonwealth division 2definitions subdivision adictionary of definitions 4 dictionary of definitions foreign corporation means a foreign corporation to which paragraph 51xx of the constitution applies. Foreign investment in australia is regulated by the foreign acquisitions and takeovers act 1975. Sep 18, 2018 this is a compilation of the foreign acquisitions and takeovers act 1975 that shows the text of the law as amended and in force on 18 september 2018 the compilation date. Australias legislative framework for foreign investment is comprised of the foreign acquisitions and takeovers act 1975 cth. However, in the recently volatile political climate a series of announcements have been made of plans to expand the uk governments power to intervene in takeovers, including in the context of the. Overview of australias foreign investment approval firb regime. This is a compilation of the foreign acquisitions and takeovers act 1975 as amended and in force on 11 december 2012. The operation of amendments that have been incorporated may be affected by application provisions that are set out in the notes section. All but the first two sections have been renumbered even if not amended. Foreign acquisitions and takeovers act 1975 sect 5 meaning of ordinarily resident 1 an individual who is not an australian citizen is ordinarily resident in australia at a particular time if and only if. Foreign acquisitions and takeovers act 1975 sect 58 exemption certificates for foreign persons 1 a foreign person may apply for a certificate under this section if the foreign person or any other foreign person proposes to acquire one or more kinds of interests in australian land note.
Foreign government investors gn23 foreign investment. A bill for an act to amend the foreign acquisitions. There are different rules in the legislation for investments by a foreign government investor compared with private investors. Foreign acquisitions and takeovers act 1975 cth barnet. This will ensure the australian government has appropriate.