Document background
An Allotment Agreement is a crucial document in UAE corporate practice, used when a company issues new shares or allocates existing treasury shares to investors or shareholders. This document is essential for both private and public companies operating under UAE jurisdiction, particularly during capital raising, employee share schemes, or corporate restructuring. The agreement must comply with UAE Federal Law No. 32 of 2021 and relevant securities regulations, making it a key instrument in corporate governance. It typically includes detailed provisions about the share allocation, payment terms, conditions precedent, and completion mechanics, while also addressing specific UAE requirements for share transfers and foreign ownership restrictions where applicable.
