Changes to the German Foreign Trade and Payments Ordinance (Außenwirtschaftsverordnung – FTPO) will impact certain cross-border transactions.

Key Points:

..The changes, which entered into force on 18 July 2017, allow the German government to scrutinize more broadly the direct and indirect acquisitions of German companies active in “particularly security-sensitive areas.”

..The affected industry sectors subject to potential scrutiny now explicitly include energy, water, nutrition, information technology, healthcare, financial services and insurance, transport and traffic, as well as related software.