Document background
The Equity Participation Agreement is a crucial document used in Swiss corporate transactions when new investors are acquiring ownership stakes in a company. It is particularly relevant for startup investments, corporate restructuring, and strategic partnerships. The agreement must comply with Swiss law, especially the Code of Obligations (OR/CO) and relevant financial market regulations. It typically includes detailed provisions on share issuance, valuation, corporate governance, shareholder rights, and exit mechanisms. This document is essential for both private and institutional investors, requiring careful consideration of Swiss corporate law requirements, tax implications, and regulatory compliance. The agreement often serves as the primary transaction document in equity investments, working alongside other corporate documents such as the Articles of Association and Shareholders' Agreement.
