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Shares Purchase Agreement
"I need a Share Purchase Agreement for acquiring 10,000 equity shares (25% stake) in an Indian private limited technology company, with completion scheduled for March 2025 and including standard representations and warranties."
1. Parties: Identification of the seller(s), purchaser(s), and the company whose shares are being transferred
2. Background: Context of the transaction, including current shareholding and reason for transfer
3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement
4. Sale and Purchase of Shares: Core transaction terms including number of shares, share type, and basic sale terms
5. Purchase Price: Details of consideration, payment terms, and payment mechanism
6. Conditions Precedent: Prerequisites that must be satisfied before completion
7. Completion: Timing, location, and actions required at completion
8. Seller's Representations and Warranties: Warranties regarding share ownership, authority to sell, and company status
9. Purchaser's Representations and Warranties: Warranties regarding authority to purchase and financial capacity
10. Company Representations and Warranties: Warranties about the company's business, assets, and liabilities
11. Pre-Completion Obligations: Parties' obligations between signing and completion
12. Indemnification: Indemnity provisions for breach of warranties or agreements
13. Confidentiality: Obligations regarding transaction and company information confidentiality
14. Notices: Process and requirements for formal communications between parties
15. Governing Law and Jurisdiction: Applicable law and dispute resolution provisions
16. General Provisions: Standard boilerplate clauses including amendments, assignments, and severability
1. Tag-Along Rights: Used when minority shareholders need protection through participation rights in the sale
2. Drag-Along Rights: Included when majority shareholders want the right to force minority shareholders to join in the sale
3. Non-Competition: Required when sellers need to be restricted from competing post-sale
4. Foreign Investment Compliance: Necessary when the transaction involves foreign investors
5. Regulatory Approvals: Required for regulated industries or when specific government approvals are needed
6. Employee Matters: Important when the transaction affects key employees or employment agreements
7. Tax Matters: Detailed tax provisions when complex tax implications are involved
8. Transition Services: Needed when seller must provide post-completion operational support
1. Details of the Shares: Complete description of shares being transferred including share certificate numbers
2. Purchase Price Calculation: Detailed methodology for calculating the purchase price, including adjustments
3. Completion Requirements: Comprehensive list of documents and actions required at completion
4. Company Information: Key details about the company including corporate information and financial statements
5. Encumbrances: List of any existing charges or encumbrances on the shares
6. Material Contracts: List and details of company's material contracts
7. Intellectual Property: Schedule of company's IP rights and registrations
8. Properties: Details of company's real estate and leasehold properties
9. Required Consents: List of third-party and regulatory consents required
10. Disclosure Schedule: Seller's disclosures against the warranties
Authors
Technology
Manufacturing
Financial Services
Healthcare
Real Estate
Retail
Energy
Infrastructure
Telecommunications
Professional Services
Media and Entertainment
Pharmaceuticals
Automotive
E-commerce
Agriculture
Legal
Finance
Corporate Development
Mergers & Acquisitions
Compliance
Corporate Secretarial
Investment
Due Diligence
Business Development
Risk Management
Chief Executive Officer
Chief Financial Officer
General Counsel
Corporate Lawyer
Investment Banker
Mergers & Acquisitions Director
Company Secretary
Legal Counsel
Corporate Development Manager
Finance Director
Compliance Officer
Business Development Director
Investment Manager
Private Equity Manager
Transaction Advisory Manager
Due Diligence Specialist
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