Sales Of Shares Agreement Template for Hong Kong

A comprehensive legal document governed by Hong Kong law that facilitates the transfer of ownership of shares from one party (the seller) to another (the buyer). This agreement outlines the terms and conditions of the share sale, including purchase price, payment terms, warranties, representations, and conditions precedent. It incorporates relevant provisions from Hong Kong's Companies Ordinance and follows common law principles, while addressing specific requirements for stamp duty and regulatory compliance under Hong Kong jurisdiction. The agreement provides protection for both parties and ensures a clear framework for the transaction's execution.

Typically:
i
This cost is based on prices provided by
6 legal services in your market.
With Genie AI:

£0

i
Generate and export your first
document completely free.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Get template free
Upload to review

Your data doesn't train Genie's AI

You keep IP ownership of your docs

4.6 / 5
4.6 / 5
4.8 / 5

What is a Sales Of Shares Agreement?

The Sales Of Shares Agreement is a crucial legal document used in Hong Kong for transferring ownership of shares in a company. It is particularly relevant in mergers and acquisitions, corporate restructuring, or when shareholders wish to exit their investment. The agreement must comply with Hong Kong's Companies Ordinance and common law principles, incorporating specific local requirements such as stamp duty regulations and securities laws. This document typically includes detailed provisions on purchase price mechanisms, warranties and representations, conditions precedent, completion mechanics, and post-completion obligations. It's essential for both private and public company transactions, though requirements may vary depending on whether the shares are listed or unlisted. The agreement serves as the primary transaction document that protects both parties' interests and provides a clear framework for executing the share transfer.

What sections should be included in a Sales Of Shares Agreement?

1. Parties: Identifies and defines the Seller(s) and Buyer(s) with full legal names and addresses

2. Background: Provides context about the company, the shares being sold, and the purpose of the transaction

3. Definitions: Defines key terms used throughout the agreement

4. Sale and Purchase: Core terms of the transaction including number of shares, price, and payment terms

5. Conditions Precedent: Conditions that must be satisfied before completion

6. Pre-Completion Obligations: Parties' obligations between signing and completion

7. Completion: Details of when, where, and how completion will take place

8. Seller's Warranties: Warranties given by the seller regarding the shares and company

9. Buyer's Warranties: Warranties given by the buyer regarding capacity and authority

10. Limitations on Liability: Limits on the parties' liability under the warranties

11. Confidentiality: Obligations regarding confidential information

12. Announcements: Restrictions on public announcements about the transaction

13. Costs: Allocation of transaction costs and expenses

14. Notices: Process for giving formal notices under the agreement

15. General Provisions: Standard boilerplate clauses including governing law, jurisdiction, etc.

What sections are optional to include in a Sales Of Shares Agreement?

1. Tax Covenant: Detailed tax-related warranties and indemnities, used when tax exposure is a significant concern

2. Non-Competition: Restrictions on seller's future competing activities, used when seller has significant market knowledge or relationships

3. Earn-out Provisions: Structure for additional payments based on future performance, used in performance-dependent deals

4. Break Fee: Compensation payable if either party withdraws, used in high-value or complex transactions

5. Directors and Officers: Provisions regarding changes in management, used when leadership changes are part of the deal

6. Intellectual Property: Special provisions for IP rights, used when IP is a significant company asset

7. Employee Matters: Provisions regarding employees and benefits, used when employment issues are material

8. Real Estate: Specific provisions for company property, used when real estate is a significant asset

What schedules should be included in a Sales Of Shares Agreement?

1. Share Details: Details of the shares being sold including class, numbers, and certificates

2. Purchase Price Calculation: Detailed methodology for calculating the final purchase price

3. Warranties: Comprehensive list of seller's warranties

4. Company Information: Details about the company including financial statements and material contracts

5. Properties: List of company properties and related information

6. Intellectual Property: Schedule of company IP rights

7. Employee Information: List of employees and their key terms of employment

8. Completion Requirements: Detailed list of documents and actions required at completion

9. Disclosed Matters: Matters disclosed against the warranties

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Hong Kong

Publisher

Genie AI

Document Type

Offer Letter

Cost

Free to use

Find the exact document you need

Rejection Form

A Hong Kong law-governed form for formally rejecting non-conforming goods, services, or offers, documenting the rejection grounds and required actions.

Download

Investment Memorandum (Real Estate)

A Hong Kong law-governed document that presents detailed information about a real estate investment opportunity, including property details, investment terms, and risk factors.

Download

With Regret Letter

A formal rejection letter used in Hong Kong's recruitment process, compliant with local employment and privacy laws.

Download

Appointment Letter For Accountant

A Hong Kong law-governed employment letter outlining terms and conditions for accounting professionals, including role responsibilities, compensation, and professional requirements.

Download

Hiring Form

Hong Kong employment documentation package containing all necessary hiring forms and agreements required under Hong Kong law.

Download

Appointment Letter For Teacher

A Hong Kong-compliant employment letter establishing terms and conditions for teaching positions in educational institutions, aligned with local employment law and education regulations.

Download

Revised Lease Agreement

A Hong Kong law-governed document that modifies an existing lease agreement, incorporating amendments while maintaining compliance with local property regulations.

Download

Baseline Risk Assessment

A systematic workplace hazard and risk evaluation document compliant with Hong Kong's safety regulations and industry standards.

Download

Lease Novation Agreement

A Hong Kong law-governed agreement that transfers lease rights and obligations from an existing tenant to a new tenant, with landlord's consent.

Download

Settlement NDA

A Hong Kong law-governed agreement combining settlement terms and confidentiality obligations, designed to resolve disputes while maintaining strict confidentiality of the settlement terms and related information.

Download

Offer Letter With Probationary Period

A formal employment offer letter compliant with Hong Kong law, including probationary period terms and essential employment conditions.

Download

Offer Letter For Rent Of Property

A formal property rental offer letter under Hong Kong law that outlines proposed tenancy terms and conditions for prospective tenants.

Download

Job Offer Refusal Letter

A formal letter used in Hong Kong business context to decline a job offer, maintaining professional relations while clearly communicating the candidate's decision.

Download

Internal NDA

Hong Kong law-governed internal NDA for protecting organizational confidential information between company and internal stakeholders.

Download

Sponsorship Invoice

A formal billing document for sponsorship arrangements under Hong Kong law, detailing sponsorship rights and payment terms while ensuring compliance with local tax requirements.

Download

Preliminary Investment Memorandum

A Hong Kong-compliant preliminary document outlining an investment opportunity, providing essential company information and investment terms for potential investors.

Download

Offer Letter For House

A formal document used in Hong Kong to present an offer to purchase residential property, outlining key terms and conditions of the proposed transaction.

Download

Official Loan Agreement

A Hong Kong law-governed agreement establishing terms and conditions for a formal loan between lender and borrower, including loan amount, interest, repayment, and security provisions.

Download

Land Purchase Deed

A legal document under Hong Kong law that facilitates and records the transfer of land ownership rights from seller to buyer, incorporating local property transfer requirements and regulations.

Download

Executive Meeting Minutes

Official record of executive meeting proceedings and decisions for Hong Kong companies, compliant with local corporate governance requirements.

Download

Final Notice To Vacate Premises

A formal legal notice under Hong Kong law demanding a tenant vacate a property, serving as the final step before potential legal proceedings.

Download

Appointment Offer Letter

A formal employment offer document compliant with Hong Kong employment law that outlines key terms and conditions of employment.

Download

Counter Offer Decline Letter

A formal letter under Hong Kong law declining a counter offer received during contract negotiations, while maintaining professional business relationships.

Download

Office Tenancy Agreement

A Hong Kong law-governed agreement setting out terms and conditions for office space leasing between landlord and tenant.

Download

Contra Agreement

A Hong Kong-governed agreement facilitating the exchange of goods or services between parties without monetary consideration, structured under Hong Kong law.

Download

Consultant Non Disclosure Agreement

A Hong Kong law-governed agreement protecting confidential information shared between a company and its consultants.

Download

Offer Of Purchase And Sale

A Hong Kong law-governed agreement setting out terms and conditions for the purchase and sale of assets, property, or goods.

Download

Job Reference Letter For Employee Leaving

A formal employment reference document compliant with Hong Kong law, providing verification of past employment and optional performance assessment.

Download

Contractual Agreement

A legally binding agreement under Hong Kong law establishing terms and conditions between parties for business arrangements.

Download

Offer Cancellation Letter From Company

A Hong Kong law-governed letter used by companies to formally withdraw a previously extended employment offer to a candidate.

Download

Freelancer Job Offer Letter

A Hong Kong-compliant job offer letter template for engaging freelancers and independent contractors, outlining key terms and conditions of the freelance relationship.

Download

Conditional Lien Waiver

A Hong Kong law-governed document that conditionally waives construction lien rights upon receipt of specified payment.

Download

Internship Letter From Company To Student

A Hong Kong-compliant internship offer letter from company to student, outlining internship terms and conditions under Hong Kong employment law.

Download

Thank You Letter For Funding Support

A formal acknowledgment letter used in Hong Kong to thank and document received funding or donations, meeting local regulatory requirements for financial documentation.

Download

Letter Of Appeal For Support

A formal appeal document used in Hong Kong to request support or review of decisions from authorities, following local administrative requirements and procedures.

Download

Withdrawal Of Termination Letter By Employer

A Hong Kong law-compliant employer's letter withdrawing a previous termination notice and confirming continued employment.

Download

Volunteer Liability Waiver

A Hong Kong law-governed liability waiver protecting organizations from claims related to volunteer activities while ensuring clear risk communication to volunteers.

Download

Partnership Loan Agreement

A Hong Kong law-governed agreement establishing terms for a loan between partners in a partnership, including loan terms, repayment conditions, and partnership considerations.

Download

Thank You For The Job Offer Letter

A professional courtesy letter used in Hong Kong to acknowledge and express gratitude for a job offer, demonstrating proper business etiquette in the Hong Kong employment context.

Download

Salary Confirmation Letter For Bank Loan

A Hong Kong-compliant employer-issued letter confirming employment status and salary details for bank loan applications.

Download
See more related templates

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

You have full control over your data and who gets to see it