Share Purchase Agreements in London and Essex
Share Price Agreements (SPAs) are between the buyer and the seller of shares in a Share Sales. They outline the specific shares and the price at which those shares will be sold.
Before you sign a SPA, you should always speak with a solicitor who is knowledgeable in this area. Contact our specialised team today here or call us on 020 3500 7471.
What is a Share Purchase Agreement?
SPAs often are used during Mergers and Acquisitions when the buyer partially or wholly acquires the company through shares. They are a formal contract outlining the terms and conditions the parties have agreed to in selling the shares.
The nature of the document means it is very detailed; it must set out exactly what shares are being transferred, for how much and when the money has to be transferred. Like other contracts, there may be other obligations and liabilities included within a SPA, which are also binding.
Due Diligence
Due Diligence will often be carried out when a significant number of shares, if not all, are purchased. As a buyer, due diligence is important to understand what the company’s position is, as in acquiring the majority of shares, you also acquire their liabilities.
You can find out more about due diligence here.
Contact our Merger and Acquisitions Solicitors in London today
Our team have years of experience negotiating and drafting Share Purchase Agreements. Contact us today to find out more about how we can help you.