[Code of Federal Regulations]

[Title 31, Volume 3]

[Revised as of July 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 31CFR800.213]



[Page 933-934]

 

                  TITLE 31--MONEY AND FINANCE: TREASURY

 

  CHAPTER VIII--OFFICE OF INTERNATIONAL INVESTMENT, DEPARTMENT OF THE 

                                TREASURY

 

PART 800_REGULATIONS PERTAINING TO MERGERS, ACQUISITIONS, AND TAKEOVERS 

BY FOREIGN PERSONS--Table of Contents

 

                          Subpart B_Definitions

 

Sec. 800.213  Foreign person.



    The term foreign person means

    (a) Any foreign national or

    (b) Any entity over which control is exercised or exercisable by a 

foreign interest.



    Example 1. Corporation A is organized under the laws of a foreign 

state and is engaged in business outside the United States. All its 

shares are held by Corporation X, which controls Corporation A. 

Corporation X is organized in the United States, and is wholly owned and 

controlled by U.S. nationals. Corporation A, although organized and 

operating outside the U.S., is not a ``foreign



[[Page 934]]



person,'' and its acquisition of a U.S. person would not be subject to 

section 721.

    Example 2. Same facts as in the first two sentences of Example 1, 

except that Country A through governmental intervenors exercises full 

decision-making power over Corporation A, including the decisions 

described in Sec. 800.204 (a) through (e). There is a foreign interest 

which is exercising control over Corporation A, which is a ``foreign 

person.''

    Example 3. Corporation A is organized under the laws of a foreign 

state and is owned and controlled by a foreign national. Through a 

branch, Corporation A engages in business in the United States. 

Corporation A and/or its branch is a ``foreign person'' should 

Corporation A make an acquisition. Its branch business in the United 

States is also a ``U.S. person'' which may be the subject of an 

acquisition.



[56 FR 58780, Nov. 21, 1991. Redesignated at 59 FR 27179, May 25, 1994]