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Share purchase agreement (SPA)

Share purchase agreement (SPA)

A share purchase agreement (SPA) is the agreement that sets out the terms when shares in a company are sold.

What is a share purchase agreement (SPA)?

A share purchase agreement (SPA), in Swedish aktieöverlåtelseavtal or köpeavtal, is the agreement that governs a transfer of shares. It sets out the price, completion, warranties and conditions. It is often preceded by a letter of intent and due diligence.

 

The share purchase agreement and the share ledger

The change of ownership must also be entered in the share ledger. Also check whether the articles of association contain restrictions, such as a pre-emption clause, that affect the transfer.

Record a change of ownership
Henrik Kristensen, NVR
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Related terms

Transfer of shares

A transfer of shares means shares change owner, for example through a sale, gift or inheritance.

Letter of intent (LOI)

A letter of intent (LOI) is a document in which the parties state that they intend to complete a deal.

Due diligence

Due diligence is a review of a company carried out ahead of an investment or acquisition.

Acquisition

An acquisition means a company or person buys shares or a whole company.