Document background
The Preference Share Subscription Agreement is a crucial document used when a company seeks to raise capital by issuing preference shares to investors. This agreement, governed by Irish law, is commonly used in private equity and venture capital transactions, as well as in other corporate financing scenarios. It sets out the complete framework for the investment, including the number and class of preference shares being issued, the subscription price, and the specific rights attached to the shares. The document ensures compliance with the Irish Companies Act 2014 and other relevant regulations, while protecting both the company's and investors' interests. A well-drafted Preference Share Subscription Agreement is essential for establishing clear terms regarding dividends, voting rights, liquidation preferences, and other key shareholder rights, as well as providing mechanisms for future corporate actions and exit scenarios.
