Document background
The Equity Contribution Agreement is a crucial document used in Belgian corporate transactions when an investor or entity wishes to make a capital contribution to a company in exchange for equity. This document is particularly relevant in scenarios involving company capitalizations, restructurings, or strategic investments. Under Belgian law, specifically the Code of Companies and Associations, such contributions must be properly documented and follow specific legal requirements, including proper valuation and disclosure obligations. The agreement serves multiple purposes: it establishes the terms of the contribution, protects both parties' interests, ensures regulatory compliance, and creates a clear record for corporate and tax purposes. It's essential for both private and public companies and can be used for both cash and non-cash contributions, though the latter requires additional formalities under Belgian law.
