H-1B Visa During a Company Acquisition or Merger

The Successor-in-Interest Rule

When a company acquires another company, the acquiring entity may qualify as a "successor-in-interest" to the original H-1B petitioner. If the successor-in-interest requirements are met, the H-1B worker can continue working without a new petition being filed. USCIS outlined these rules in a 2021 policy memo that remains the current guidance.

When a New H-1B Petition Is NOT Required

A new petition is generally not needed if the acquiring company qualifies as a successor-in-interest. This requires:

• Assumption of immigration obligations: The new entity must assume all the immigration-related rights and obligations of the original petitioner.
• Same job terms: The H-1B worker's job title, duties, salary, and work location remain materially the same.
• Valid underlying petition: The original H-1B petition must still be valid and unexpired.
• Corporate documentation: There must be documentation showing the transfer of ownership and assumption of liabilities (merger agreements, stock purchase agreements, etc.).

In practice, this covers most clean acquisitions where the acquired company's employees continue in their same roles under the new parent company.

When a New H-1B Petition IS Required

A new or amended H-1B petition is needed when:

• Material job changes: If the acquisition results in a different job title, duties, salary, or work location, an amended petition must be filed.
• No successor-in-interest relationship: If the acquirer did not assume the immigration obligations of the original employer (e.g., asset purchase with no assumption of liabilities).
• Company dissolution: If the original petitioning company ceases to exist and the new entity doesn't qualify as a successor-in-interest.
• Different LCA needed: If the work location changes or the prevailing wage in the new entity's structure is different, a new LCA and amended petition may be required.

Impact on Green Card Processing

M&A transactions can also affect pending green card applications:

• PERM labor certification: If you're in the PERM stage, the successor-in-interest can continue the process without restarting, provided the job opportunity remains the same.
• I-140 petition: An approved I-140 remains valid as long as the successor-in-interest assumes the sponsorship obligation. Your priority date is preserved.
• I-485 adjustment of status: If your I-485 has been pending for 180+ days, you have additional portability protections under AC21 regardless of the corporate changes.

What You Should Do During an Acquisition

• Don't panic: Most acquisitions are structured to preserve H-1B status. The acquiring company's legal team is usually aware of immigration implications.
• Ask early: Contact HR or your immigration attorney as soon as you learn about the acquisition. Ask specifically whether the new entity will be filing as a successor-in-interest.
• Keep your documents: Maintain copies of your current I-797, I-94, LCA, and employment offer letter. You may need these if questions arise later.
• Watch for job changes: If your role, location, or compensation changes as part of the acquisition, flag it immediately — these changes may trigger the need for an amended petition.
• Monitor your green card: If you have a pending green card case, ensure the new entity explicitly assumes sponsorship.