With a remarkable statement in an interview with the Financial Times published on 12 April 2020, the Commission Vice President Margrethe Vestager in charge of Competition was cited to have declared that the Commission has “no issues” with EU Member States buying shares in companies to prevent takeovers by foreign acquirers, in particular by State-backed enterprises.
Coming at a time of increased attention to Foreign Direct Investment (FDI) limitations in the wake of the COVID-19 pandemic, this takes up discussions about “Golden Shares”, a mechanism allowing a Member State to veto certain “critical” decisions such as takeovers on the basis of a minority shareholding in a company, and adds a new dimension to the discussion that has been raging across Europe, covering FDI, but also State aid and the principle of free movement of capital.