Document background
The Shares Subscription Agreement is a crucial document used when a UAE company issues new shares to investors or existing shareholders. This agreement type is essential for both private and public companies looking to raise capital through share issuance, subject to UAE Commercial Companies Law and relevant regulatory frameworks. The document serves multiple purposes: it formalizes the share subscription process, ensures compliance with local regulations, protects both issuer and subscriber interests, and establishes clear terms for the investment. The agreement must address specific UAE requirements regarding share transfers, foreign ownership restrictions, and corporate governance standards. It typically includes detailed information about the shares being issued, payment terms, representations and warranties, and completion mechanics, all within the context of UAE legal requirements.
