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China Firms Face Increasing Acquisition Delays in U.S.

By Zhang Qi and Liu Xiao
Ant Financial had to resubmit its $1.2 billion plan to take over US-based MoneyGram International to the Committee on Foreign Investment in the United States, the committee that reviews proposals for foreign acquisitions of U.S. companies. The committee has been plagued by delays this year due to staffing problems. Photo: Visual China
Ant Financial had to resubmit its $1.2 billion plan to take over US-based MoneyGram International to the Committee on Foreign Investment in the United States, the committee that reviews proposals for foreign acquisitions of U.S. companies. The committee has been plagued by delays this year due to staffing problems. Photo: Visual China

The volleys have become more protracted between a U.S. panel that reviews incoming acquisitions and Chinese suitors.

A nod from the Committee on Foreign Investment in the United States, commonly known as CFIUS, is the last mile for non-American companies to clinch deals on U.S. soil. The inter-agency committee, chaired by the Treasury secretary, has up to 75 days to review a deal on national security grounds. If unresolved concerns remain, CFIUS can send a report to the president, who has the authority to prohibit incoming investments.

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