Document background
The Company Share Purchase Agreement is a fundamental transaction document used in corporate acquisitions under Dutch law. It is employed when one party wishes to acquire ownership of a company through the purchase of its shares from existing shareholders. The agreement must comply with Dutch corporate law requirements, including specific formalities for share transfers and potential works council consultation obligations. It typically includes detailed provisions on purchase price mechanisms, warranties about the target company's condition, indemnities for specific risks, pre-closing covenants, and completion mechanics. The document is crucial for both private and public company acquisitions, though public company transactions may require additional regulatory compliance. This agreement type is essential for documenting the parties' rights and obligations, managing transaction risks, and ensuring a legally compliant share transfer process in the Netherlands.
