Document background
A Share Charge Agreement under Dutch law is a fundamental security document used in financing transactions where shares in a Dutch company serve as collateral. This agreement is typically executed in connection with loan facilities, acquisition financing, or other credit arrangements where a lender requires security over shares. The document must be carefully structured to comply with Dutch legal requirements, including specific formalities for creating and perfecting share security interests. It addresses crucial aspects such as voting rights, dividend arrangements, and enforcement procedures, while ensuring compliance with Dutch corporate law and security regulations. The agreement is particularly important in corporate restructurings, leveraged financings, and investment transactions where share security is a key component of the overall security package.
