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EU State Measures against Foreign Takeovers: “Economic Patriotism” in All but Name

By  |  October 16, 2006

Nelson Jung, Alex Nourry, Nov 01, 2006

This article examines the compatibility of special rights and other state measures with the EC´s single market objectives within the framework of the EC Treaty and their impact on foreign takeovers and investments. It also examines the initiatives taken by the Commission in order to eliminate such measures and analyzes the potential remedies available to foreign investors when confronted with such measures. Such remedies include the application of the Commission´s powers under Article 21 of the EC Merger Regulation that arguably could be used to even greater effect with the abolition or curtailment of the two-thirds rule.

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