Document background
The Warrant Purchase Agreement is a critical document used when a company wishes to issue warrants, which give the holder the right to purchase shares at a predetermined price within a specified period. Under Danish law, this agreement must comply with the Danish Companies Act and related legislation, making it essential for companies seeking to implement equity incentive programs or raise capital through warrant issuance. The document typically includes detailed provisions about warrant terms, exercise conditions, representations and warranties, and various protective mechanisms for both parties. A Warrant Purchase Agreement is commonly used in startup funding rounds, employee incentive schemes, and strategic investments, providing a framework for future equity participation while maintaining current shareholding structures.
