Document background
The Equity Investment Agreement is a crucial document used when an investor seeks to acquire ownership in a Swiss company through share purchase or subscription. It serves as the primary transaction document in equity financing rounds, whether for startup funding, growth capital, or strategic investments. The agreement must comply with Swiss corporate law requirements, particularly the Swiss Code of Obligations, while addressing key commercial terms such as valuation, share class rights, board representation, and investor protections. It typically includes conditions precedent to closing, detailed warranties about the company's condition, and various mechanisms to protect both the investor's and existing shareholders' interests. The document is essential for both domestic and cross-border investments into Swiss entities, requiring careful consideration of Swiss financial market regulations and foreign investment rules.
