A share purchase agreement (SPA) is a legal document that outlines the terms and conditions of a sale and purchase of shares in a company. This agreement is essential in ensuring that the buying and selling parties understand their roles and responsibilities and that the process is conducted fairly and smoothly. In Turkey, the SPA is referred to as „hisse satım sözleşmesi,” and it is a vital document for anyone looking to invest in or sell shares in a Turkish company.
When drafting an SPA in Turkey, it is essential to ensure that all the necessary information is included. The agreement should specify the parties` details, the shares being sold, the purchase price, the payment terms, any warranties and representations, and conditions precedent. It is important to note that the SPA must be in Turkish to be enforceable in Turkey.
The SPA outlines the terms and conditions of the share purchase, including any representations and warranties provided by the seller. These warranties usually relate to the company`s financial health, legal compliance, and any other material information that could affect the buyer`s decision to invest in the company. The SPA also contains indemnity provisions and clauses that protect both parties in case of any breaches of the agreement.
In Turkey, the SPA is usually signed in the presence of a notary public, who ensures that the agreement is valid and enforceable. Once all parties sign the SPA, the buyer will pay the purchase price, and the seller will transfer the shares to the buyer.
The SPA is an essential document that protects both parties and ensures that the share purchase is conducted fairly and smoothly. If you are looking to invest in a Turkish company, it is crucial to have an experienced lawyer draft your SPA and guide you through the process. A skilled lawyer can help you understand the legal requirements, negotiate the best terms, and ensure that your investment is protected.
In conclusion, a share purchase agreement (hisse satım sözleşmesi) is a necessary document for anyone looking to invest in or sell shares in a Turkish company. It outlines the terms and conditions of the share purchase, including warranties, indemnity provisions, and payment terms. It is essential to have an experienced lawyer draft your SPA and guide you through the process to ensure that your investment is protected.