This On Demand was recorded on 21 February 2023.

The Overseas Investment Act 2005 sets out the rules and requirements for overseas investors wanting to invest in New Zealand businesses and business assets.

It is mandatory to get consent under the Overseas Investment Act for investments in Significant Business Assets, usually over $100 million. However, there are requirements that apply to overseas investments in certain types of New Zealand business under this threshold.

The National Security and Public Order notification regime applies to investments of any amount in certain types of businesses and their assets, including technology and intellectual property. Notifications are mandatory for some types of business.

This On Demand will cover the overseas investment regime as it applies to investments in businesses or business assets under $100 million. It will explain the different types of business covered by the National Security and Public Order notification regime, and help you to recognise when a mandatory notification could be required.

Understanding these requirements will help you to better advise your clients and help them meet the requirements of the Overseas Investment Act.

This On Demand will be presented by Members of Toitū Te Whenua Land Information New Zealand’s (LINZ) Monitoring and Intelligence Team. This team is responsible for assessing notifications made to LINZ under the National Security and Public Order (NSPO) regime and providing recommendations to decision makers about any potential risks associated with overseas investment in New Zealand’s Strategically Important Businesses. The team also manages the office’s monitoring regime which works with consent holders to ensure any conditions imposed as a result of being granted consent are adhered to and non-compliance is minimised.

Who should view?

This On Demand will be of interest to commercial lawyers, especially those dealing with smaller and medium-size overseas investments. This includes technology businesses and start-ups seeking to raise capital or being acquired by overseas businesses.

Learning Outcomes

• Become aware of the Overseas Investment Act 2005 and its requirements, including how it relates to investments in businesses.
• Understand the National Security and Public Order regime and the types of business investments it relates to.
• Learn more about the types of businesses and technology where there is a potential military or dual use application, and the requirements for notifying overseas investments are more stringent.
• Know where to turn for further information if you encounter a situation where you think the Overseas Investment Act may apply.