Legislative changes drive M&A activities in Vietnam Seck Yee Chung, partner of Baker McKenzie, said that some new and important investment-related laws will take effect in 2021, including the Investment Law, the Enterprise Law, the Securities Law, and the Private-Public Partnership Investment Law. There is also a relatively new merger filing regime that already took effect in the middle of 2020. All these new laws will create a new investment regulatory framework. This will impact how investment and business will be conducted in the new normal and in the foreseeable future, which will hopefully be shaped by the gradual and studied easing of safety measures and travel restrictions, and more understanding as to how COVID-19 should be best treated. According to Chung, these new laws signify the government’s efforts to continue to attract foreign investment and to create a more robust legal framework to regulate investment activities in general. In particular, it is noteworthy that the new Investment Law purports a “negative list” approach – meaning that foreign investors would be treated the same as domestic investors in terms of market access, unless the business line in question is restricted (for which a draft implementing decree has already been released for comments)…. Read full this story
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