Document background
The Shareholder Sale Agreement is a crucial document used when existing shareholders in an Indonesian company wish to transfer their shareholding to other parties. This agreement is essential for both domestic and cross-border transactions, requiring compliance with Indonesian Company Law (Law No. 40 of 2007) and related regulations. It is particularly important in contexts where companies undergo ownership changes, strategic investments, or corporate restructuring. The document must address specific Indonesian legal requirements, including mandatory notarial deeds for share transfers, foreign investment restrictions if applicable, and regulatory approvals. The agreement typically includes detailed provisions on share valuation, payment terms, representations and warranties, and specific closing conditions, all structured to ensure enforceability under Indonesian law.
