Document background
The Term Sheet Share Purchase Agreement is a crucial preliminary document in Australian corporate transactions, typically used in the early stages of share acquisition negotiations. It functions as a foundation document that captures the parties' key commercial agreements and sets the framework for due diligence and detailed documentation. This document is particularly important in Australian business practice as it helps ensure compliance with regulatory requirements, including those under the Corporations Act 2001 and, where applicable, Foreign Investment Review Board (FIRB) considerations. While most provisions are non-binding, it typically includes binding confidentiality and exclusivity provisions. The Term Sheet Share Purchase Agreement is essential for complex transactions where parties need to agree on fundamental terms before committing resources to detailed due diligence and final documentation.
