Document background
A Private Equity Shareholders Agreement is a fundamental document used when a private equity firm invests in a Malaysian company, establishing the framework for the relationship between the PE investor and existing shareholders. The agreement, governed by Malaysian law, particularly the Companies Act 2016 and relevant securities regulations, typically comes into play during significant investment rounds or company restructuring. It covers crucial aspects such as investment terms, governance rights, share transfer restrictions, exit mechanisms, and minority shareholder protections. The document is essential for protecting the interests of all parties involved and ensuring smooth operation of the business post-investment, while maintaining compliance with Malaysian regulatory requirements and market practices.
