Document background
A New Shareholders' Agreement is a fundamental document required when establishing or restructuring shareholder relationships in a Nigerian company. It becomes necessary when forming a new company, admitting new shareholders, or formalizing existing shareholder arrangements. The agreement must comply with Nigerian legislation, particularly CAMA 2020, and typically includes provisions for share ownership, voting rights, management participation, profit distribution, and dispute resolution. This document is crucial for protecting shareholder interests, ensuring smooth corporate governance, and providing clarity on key decisions and processes. It's particularly important in the Nigerian context where corporate governance standards are evolving and regulatory compliance is increasingly emphasized. The agreement serves as a binding contract between shareholders and the company, establishing clear protocols for business operations and shareholder relations.
