Amid the COVID-19 pandemic, the Government strengthens its special powers in strategic sectors

On 6 June 2020, the Law 5 June 2020, n.40 entered into effect. It converts the Decreto Legge 8 Aprile 2020, n.23, into law. The Decree-Law adopted by the Italian Cabinet expands the special power regime in strategic sectors that require prior approval for any foreign investment. The scope of the FDI screening now covers, inter alia, the financial, credit and insurance sectors, infrastructure and critical technologies, including energy, transport, water and health, food security, access to sensitive information (personal data), artificial intelligence, robotics, semiconductors, cyber-security, nanotechnology and biotechnology. The regime shall apply to acquisitions exceeding 10% of the share capital and a threshold of EUR 1 million has been introduced. Furthermore, the review also concerns acquisitions of Italian companies by entities from other EU member states. Additionally, the government is now entitled to intervene on its own motion without a necessity of a prior notification being filed.

• Type:

  • Entry and establishment (Approval and admission)

• Industry:

  • Primary (Agriculture, forestry and fishing)
  • Manufacturing (Manufacture of food products, beverages and tobacco products, Manufacture of basic pharmaceutical products and pharmaceutical preparations, Manufacture of computer, electronic and optical products, and electrical equipment, Manufacture of transport equipment)
  • Services (Electricity, gas, steam and air conditioning supply, Water supply, sewerage, waste management and remediation activities, Transportation and storage, Telecommunications, Computer programming, consultancy and related activities, Financial and insurance activities, Scientific research and development, Other professional, scientific and technical activities, Human health activities)

• Sources:

  • Gazzetta Ufficiale, LEGGE 5 giugno 2020, n. 40 , https://www.gazzettaufficiale.it/eli/id/2020/06/06/20G00060/sg, 05 Jun 2020
  • Gazzetta Ufficiale, DECRETO-LEGGE 8 aprile 2020, n. 23, https://www.gazzettaufficiale.it/atto/serie_generale/caricaDettaglioAtto/originario?atto.dataPubblicazioneGazzetta=2020-04-08&atto.codiceRedazionale=20G00043&elenco30giorni=true, 08 Apr 2020
  • Presidenza del Consiglio dei Ministri, Comunicato stampa del Consiglio dei Ministri n. 39, http://www.governo.it/node/14417, 06 Apr 2020