CFIUS rules finalized for reviewing foreign investment in U.S.

New regulations for how the federal government reviews foreign investment in the U.S., including private equity and real estate transactions, were finalized Monday by the Treasury Department. The rules, which become effective Feb. 13, were mandated by the bipartisan Foreign Investment Risk Review Modernization Act of 2018 that expanded the ability of the federal government's interagency Committee on Foreign Investment in the United States, or CFIUS, to review transactions based on the degree of control of a foreign investor or government. Under the changes, CFIUS officials will now be able to pay closer attention to transactions involving critical technology and infrastructure or operations that collect sensitive personal data on U.S. citizens. Critical infrastructure sectors include telecommunications, utilities, energy and transportation.