First 15-20 minutes is for networking
Sandwiches and Beverages included
Hosted by the Financial Services Committee and China Business Committee
Chinese investment into the United States is on the rise, as demonstrated by recent high profile transactions in the real estate, food and entertainment industries. According to the Rhodium Group, the economic research and advisory firm, Chinese investment into the United States doubled last year, with total deal value hitting a record $14 billion. Many believe that the pace of Chinese investment can only increase given broad reforms in China, a more welcoming political environment as Chinese transactions become more commonplace, and an improved U.S. economy.
These events have thrust the 'little-known" Committee on Foreign Investment in the United States (CFIUS) into the spotlight. CFIUS is the U.S. government committee that reviews inbound investment in the United States and can block deals for national security reasons. The annual report released by CFIUS late last year shows an unprecedented increase in Chinese transactions reviewed by CFIUS in 2012 and heightened scrutiny by CFIUS. Notably, last year brought only the second veto of a transaction by a U.S. President in CFIUS's history – the purchase of interests in a wind farm project located near a sensitive U.S. military installation by the Ralls Corporation, a Chinese company. Despite a common perception that Chinese deals often falter in the U.S. market because of political pressure, CFIUS has shown that it can, and does, see past political pressure and has ultimately approved high-profile Chinese deals, even in the face of political opposition. Nevertheless, despite the United States being 'open for business," there have been complaints that the CFIUS process is opaque amid reports of troubled deals that have been forced to be unwound by CFIUS.
As the investment relationship between China and the United States deepens, it is increasingly necessary to understand the potential roadblock presented by CFIUS. Buyers of U.S. assets -- whether Chinese or other foreign investors – need to develop a comprehensive strategy to deal with the committee.
Ms. Anne Salladin, a nearly twenty-year veteran of the U.S. Department of the Treasury, which chairs CFIUS, is now in private practice with the law firm of Stroock & Stroock & Lavan LLP, where she represents foreign and U.S. clients in connection with national security matters. While at Treasury, Ms. Salladin participated in the review and investigation of well over 500 CFIUS cases, and was involved in all the major Chinese deals reviewed by CFIUS in recent years. Ms. Salladin and her colleague, Chris Griner, Managing Partner of Stroock's Washington D.C. office and an internationally-recognized authority on transactions involving national security, will discuss recent developments and trends in CFIUS matters, the CFIUS process, and strategies for managing a successful approach to the committee.
This event provides a unique opportunity to gain valuable insight from a former U.S. government lawyer and the dean of the CFIUS bar into how national security reviews may affect commercial transactions involving foreign investment in the United States.