United States of America: Adopted Foreign Merger Subsidy Disclosure Act (S 4322) through the engrossed Consolidated Appropriations Act 2023 (HR 2617)

On 23 December 2022, the Foreign Merger Subsidy Disclosure Act was adopted by the House of Representatives. The Act was incorporated into the Consolidated Appropriations Act 2023 (HR 2617) under Section 202, Mergers Involving Foreign Government Subsidies. The Act outlines merger disclosure requirements. The Act requires any company operating in the US that is planning to merge with another organisation to disclose the received economic support from a foreign state. In particular, the entities will be required to inform the Federal Trade Commission (FTC) and the Department of Justice (DOJ) about any financial involvement, including subsidies, ownership, tax concessions or procurements a foreign government has granted them.