Impacts of FIRB changes on ECM deals during COVID-19 | Practical Law

Impacts of FIRB changes on ECM deals during COVID-19 | Practical Law

Much has been made of the temporary changes to Australia’s foreign investment regime in response to COVID-19, which reduce the relevant monetary thresholds to $0 and extend the statutory deadlines from 30 days to up to six months. This article considers the impact of these changes on equity capital market (ECM) transactions during COVID-19, finding that these changes do not pose a significant barrier to foreign investment into Australia, particularly in the context of ECM deals, which continue to be facilitated by the regime.

Impacts of FIRB changes on ECM deals during COVID-19

by Rhys Casey, Partner, Malcolm Brennan, Partner, Karim Issa and Anthony Boogert, King and Wood Mallesons
Published on 16 Jun 2020 • Australia, Federal
Much has been made of the temporary changes to Australia’s foreign investment regime in response to COVID-19, which reduce the relevant monetary thresholds to $0 and extend the statutory deadlines from 30 days to up to six months. This article considers the impact of these changes on equity capital market (ECM) transactions during COVID-19, finding that these changes do not pose a significant barrier to foreign investment into Australia, particularly in the context of ECM deals, which continue to be facilitated by the regime.