Foreign Investment
Obtaining Foreign Investment Review Board (FIRB) approval is a threshold issue for inbound investment into Australia. Although historically FIRB approval was seen as a bit of a ‘rubber stamp’, the increased focus of the Federal Government on the regulation of foreign investment, including the imposition of fees, greater penalties for breaches and improved compliance mechanisms, means that it is more important than ever to get the right advice – early.
Whether you operate a local business, are seeking investment from overseas, or a foreign investor looking to acquire an interest in an Australian business, company or assets, an understanding of the FIRB notification and approval requirements is vital.
Inbound investment is regulated by the FIRB which determines whether to allow certain foreign acquisitions of interests in Australian companies, assets, or businesses. Acquisitions will be prohibited if they are found to be contrary to the Australian national interest. Foreign government investors (including sovereign wealth funds, government pension funds and other government controlled institutions) face even more strenuous FIRB notification and approval requirements.
Our FIRB legal team draws on expertise in resources, food and agribusiness, mergers and acquisitions, property, finance, and taxation to provide practical FIRB advice and assistance. We deal regularly with FIRB in gaining approval for foreign investment and this close contact provides us with a detailed understanding of how the complex rules and regulations are applied in practice.
We continue to stay at the forefront of developments and government policy so that we can advise our clients on the current law and policy, as well as the prospects for change that may impact on proposed investments.
Our expertise and current experience mean we are across these issues and ensures your application has the best chance of success within the existing legal and policy framework.
To find out more, contact Duncan Bedford.
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Experience
International student accommodation developer and manager
Obtaining numerous FIRB approvals for the acquisition of both development sites and established facilities. Assisting in successfully obtaining fee reductions of $560,000 and $210,000 for two particularly complex acquisitions.
Consolidated Pastoral Company
Advising Consolidated Pastoral Company, one of Australia’s largest foreign landowners, in on all FIRB related issues including those relating to acquisitions, leasing, reporting, and capital raising.
Wanda Ridong
Assisting in obtaining FIRB approval for the acquisition of a $425 million Sydney harbour-front property for development into a five star hotel.
World Class Land
Assisting in obtaining developer pre-approval for the sale of 100 percent of developed apartments to foreign buyers for multiple residential developments.
ASX listed property developer
Assisting in obtaining a five-year FIRB exemption certificate for a program of land acquisitions (including residential, commercial, and agricultural land) for the purposes of residential development.
Complex resources sector transactions
Assisting in obtaining FIRB approval for a two-phase sale of a large existing mine and associated assets. Successfully arguing an aggregation of the transaction, reducing the fees from potentially in excess of $200,000 to $27,000.
Compliance assistance
Assisting large listed entities with complex ownership structures to correct the record with FIRB, ensuring compliance while avoiding penalties.
FIRB Regulations
Successfully lobbying for change of regulations relating to characterisation of commercial residential premises, in circumstances where the GST legislation was inconsistent with the FIRB policy objectives.