Share Transfer Agreement Template Hk

When a person acquires or proposes to acquire shares in a Hong Kong company, the company concerned in Hong Kong (or one of its subsidiaries) is prohibited from providing direct or indirect assistance in acquiring it. Often, when transferring to a third party, it is necessary to set the terms through a share purchase agreement. These contracts specify the terms of the purchase, including the price and the terms and commitments of the cedant with respect to the finances and commitments of the entity concerned. Prohibition of acquisition by its own equity financing According to 47A of Hong Kong Companies Ordinance, all Hong Kong companies prohibit the granting of financial provisions and financing for the acquisition of the company`s shares. The regulation provides:- 1. If a person who acquires or proposes to acquire shares in a company during the acquisition, before or at the time of the acquisition, the company or one of its subsidiaries should not provide financial assistance, directly or indirectly, in this matter. 2. Where a person has acquired shares in a company and has incurred debts for the purpose of the acquisition (the person or another person), the limited company or one of its subsidiaries is not available to reduce or reduce debts incurred directly or indirectly for financial assistance. (3) Any company that violates this section is fined and any delay is liable to imprisonment or a fine. 5. After the stamp of the form, the information provided by the buyer for registration in the register of companies is confirmed. After a successful listing, the transfer of shares of the Company is considered complete 8.1 This share transfer agreement is concluded under the exclusive jurisdiction of the laws of [STATE AND COUNTRY].

You may want to change the structure of your company`s actions. either by the arrival of new shareholders or by the modification of the existing share of shares between shareholders – this is most often through the transfer of shares. A share transfer is the process of transferring existing shares from a person to existing shareholders or third parties, either through the sale or donation and is a joint exercise conducted by Hong Kong companies. PandaTip: WARNING! Transfer of partially paid shares (less than 100%) an obligation of the purchaser and is the same as the transfer of a debt. In the last example (Acorn Trading), obtaining these shares would create a $9,000 commitment for the new shareholder. PandaTip: This schedule should include all shares or shares transferred as part of this share transfer agreement.