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Stock Sale And Purchase Agreement
"Need a Stock Sale and Purchase Agreement for acquiring 75% shares in an Austrian tech startup, with specific provisions for intellectual property protection and an earn-out mechanism based on 2025 performance targets."
1. Parties: Identification of seller(s), purchaser(s) and any guarantors
2. Background: Recitals explaining the context of the transaction and the target company
3. Definitions and Interpretation: Defined terms and rules of interpretation for the agreement
4. Sale and Purchase: Core transaction terms including description of shares being sold
5. Purchase Price: Fixed consideration, adjustments, earn-outs, and payment mechanics
6. Conditions Precedent: Prerequisites for closing including regulatory approvals and third-party consents
7. Pre-Closing Obligations: Parties' obligations between signing and closing, including conduct of business
8. Closing: Closing mechanics, deliverables, and timing
9. Seller's Warranties: Fundamental and business warranties regarding the shares and target company
10. Purchaser's Warranties: Basic warranties from the purchaser including capacity and authority
11. Liability and Indemnification: Scope of liability, limitations, and indemnification procedures
12. Tax Matters: Tax covenants, indemnities, and allocation of tax risks
13. Confidentiality: Confidentiality obligations and permitted disclosures
14. Announcements: Rules for public statements about the transaction
15. Notices: Format and delivery requirements for formal communications
16. General Provisions: Boilerplate clauses including governing law, jurisdiction, and entire agreement
1. Employee Matters: Used when specific employee arrangements or protections are needed, including management retention
2. Real Estate: Required when the target company owns significant real estate assets
3. Intellectual Property: Important for technology companies or IP-heavy businesses
4. Environmental Matters: Necessary for companies in industries with environmental risks
5. Non-Competition: Include when seller restrictions are required post-closing
6. Transition Services: Used when seller will provide services to target post-closing
7. Bank Financing: Required when purchase is contingent on external financing
8. Share Pledge: Include when shares are used as security for deferred payments
9. Data Protection: Detailed section needed for companies processing significant personal data
1. Details of the Target Company: Corporate information, shareholding structure, and subsidiaries
2. Shares Details: Full description of shares being transferred including any encumbrances
3. Purchase Price Calculation: Detailed mechanics for price adjustments and earn-outs
4. Closing Deliverables: List of all documents and items to be delivered at closing
5. Warranties: Detailed warranties schedule, often with specific disclosures
6. Material Contracts: List and copies of key contracts affecting the business
7. Properties: Details of owned and leased real estate
8. Intellectual Property: List of IP rights owned or licensed by the target
9. Employee Information: Key employment terms, benefits, and pension arrangements
10. Data Room Index: Index of due diligence materials provided
11. Permitted Leakage: Agreed exceptions to no leakage covenant in locked box deals
12. Bank Accounts: Details of all bank accounts and signing authorities
Authors
Manufacturing
Technology
Real Estate
Financial Services
Healthcare
Retail
Energy
Professional Services
Transportation
Construction
Telecommunications
Industrial
Agriculture
Media and Entertainment
Legal
Finance
Corporate Development
Mergers & Acquisitions
Compliance
Risk Management
Executive Leadership
Corporate Secretariat
Treasury
Tax
Business Development
Chief Executive Officer
Chief Financial Officer
General Counsel
Corporate Lawyer
Legal Director
Finance Director
Head of Mergers & Acquisitions
Investment Manager
Corporate Secretary
Due Diligence Manager
Transaction Manager
Business Development Director
Private Equity Manager
Corporate Development Manager
Risk Manager
Compliance Officer
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