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The Share Subscription Agreement And Share Purchase Agreement is a crucial document used in Australian corporate transactions where investors are both subscribing for new shares and purchasing existing shares from current shareholders. This hybrid agreement is particularly useful in growth capital or expansion scenarios where a company needs to raise fresh capital while also providing an exit or partial exit for existing shareholders. The document must comply with Australian corporate law requirements, including the Corporations Act 2001 (Cth), ASIC regulations, and relevant state laws. It typically includes comprehensive details about share pricing, payment terms, conditions precedent, completion mechanics, warranties about the company's business and shares, and various post-completion obligations. The agreement is commonly used in private company transactions, venture capital investments, and private equity deals where investors seek a significant stake through a combination of new and existing shares.
