§800.249. Transaction.
31 C.F.R. § 800.249
The term transaction means any of the following, whether proposed or completed:
A merger, acquisition, or takeover, including—
The acquisition of an ownership interest in an entity;
The acquisition of proxies from holders of a voting interest in an entity;
A merger or consolidation;
The formation of a joint venture; or
A long-term lease or concession arrangement under which a lessee (or equivalent) makes substantially all business decisions concerning the operation of a leased entity (or equivalent), as if it were the owner;
An investment; or
The conversion of a contingent equity interest.
Example— Corporation A, a foreign person, signs a concession agreement to operate the toll road business of Corporation B, a U.S. business, for 99 years. Corporation B, however, is required under the agreement to perform safety and security functions with respect to the business and to monitor compliance by Corporation A with the operating requirements of the agreement on an ongoing basis. Corporation B may terminate the agreement or impose other penalties for breach of these operating requirements. Assuming no other relevant facts, this is not a transaction.
Notes, amendments, and revision history
Authority
Authority: 50 U.S.C. 4565; E.O. 11858, as amended, 73 FR 4677.
Source
Source: 85 FR 3124, Jan. 17, 2020, unless otherwise noted.