Business Acquisition Agreement Template for Saudi Arabia

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Business Acquisition Agreement

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Business Acquisition Agreement

"I need a Business Acquisition Agreement for purchasing a Saudi manufacturing company through a share acquisition, where our UAE-based company will acquire 100% of the shares, with completion planned for March 2025 and including specific provisions for technology transfer and employee retention."

Document background
The Business Acquisition Agreement is a crucial document used in mergers and acquisitions transactions in Saudi Arabia, structured to comply with local laws and regulations while facilitating business combinations and corporate restructuring. It serves as the primary transaction document when acquiring a business either through asset purchase or share transfer, detailing all aspects from purchase price and payment terms to warranties and post-completion obligations. The agreement must align with Saudi Arabia's Companies Law, Foreign Investment Law, and other relevant regulations, while also considering Shariah compliance where applicable. It's particularly important in the context of Saudi Vision 2030, which has sparked increased M&A activity and foreign investment in the kingdom. The document typically includes comprehensive schedules and appendices covering assets, employees, contracts, and regulatory requirements specific to Saudi Arabian business transactions.
Suggested Sections

1. Parties: Identification of the buyer, seller, and any guarantors, including full legal names and registration details as per Saudi regulations

2. Background: Context of the transaction, including brief description of the business and purpose of the acquisition

3. Definitions: Comprehensive definitions of terms used throughout the agreement, including Arabic translations of key terms where necessary

4. Sale and Purchase: Core transaction terms including the assets or shares being purchased and basic mechanics of transfer

5. Purchase Price: Detailed breakdown of consideration, payment terms, and any adjustments, including compliance with Shariah financing principles

6. Conditions Precedent: Prerequisites to completion, including regulatory approvals and third-party consents required under Saudi law

7. Pre-Completion Obligations: Parties' obligations between signing and completion, including business conduct requirements

8. Completion: Mechanics of closing, including timing, location, and deliverables

9. Seller's Warranties: Comprehensive warranties about the business, assets, and compliance with Saudi laws

10. Buyer's Warranties: Basic warranties from the buyer, including capacity and authority to enter into the transaction

11. Limitations on Liability: Scope and limitations of parties' liabilities, subject to Saudi law restrictions

12. Post-Completion Obligations: Ongoing obligations after closing, including transition services and non-compete provisions

13. Confidentiality: Provisions governing confidential information and announcements

14. Governing Law and Dispute Resolution: Confirmation of Saudi law governance and dispute resolution mechanisms, typically through Saudi courts or arbitration

15. General Provisions: Standard boilerplate clauses adapted for Saudi law compliance

Optional Sections

1. Earn-out Provisions: Used when part of the purchase price is contingent on future performance

2. Employee Matters: Detailed provisions for employee transfers and protections, required when significant workforce is involved

3. Intellectual Property Rights: Specific provisions for IP transfer and protection, necessary for technology or brand-focused acquisitions

4. Real Estate: Special provisions for real property transfers, required when significant real estate assets are involved

5. Environmental Matters: Required for businesses with environmental impacts or risks

6. Data Protection: Required when significant personal or customer data is involved in the transfer

7. Foreign Investment Provisions: Required when transaction involves foreign investors or cross-border elements

8. Shariah Compliance: Specific provisions ensuring transaction structure complies with Shariah principles, required for Islamic financing

9. Competition Compliance: Required when transaction size triggers competition law requirements

10. Tax Covenant: Detailed tax-related provisions, required for complex tax structures or significant tax risks

Suggested Schedules

1. Business Assets Schedule: Detailed list of all assets included in the sale

2. Excluded Assets Schedule: List of assets specifically excluded from the sale

3. Properties Schedule: Details of all real estate assets and leases

4. Intellectual Property Schedule: List of all IP rights being transferred

5. Employee Schedule: List of employees and their key employment terms

6. Material Contracts Schedule: Key contracts being transferred or requiring consent

7. Completion Deliverables Schedule: List of all documents and items to be delivered at completion

8. Warranties Schedule: Detailed warranties about the business and assets

9. Permitted Encumbrances Schedule: List of permitted liens and encumbrances on assets

10. Tax Schedule: Detailed tax-related provisions and allocations

11. Regulatory Approvals Schedule: List of required governmental and regulatory approvals

12. Form Documents Appendix: Templates for transfer documents, powers of attorney, and other required forms

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 | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Manufacturing

Technology

Real Estate

Healthcare

Financial Services

Retail

Energy

Transportation

Construction

Education

Telecommunications

Professional Services

Hospitality

Mining

Agriculture

Relevant Teams

Legal

Finance

Mergers & Acquisitions

Corporate Development

Executive Leadership

Risk & Compliance

Human Resources

Operations

Strategy

Business Development

Tax

Treasury

Corporate Secretariat

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Chief Legal Officer

Managing Director

Corporate Finance Director

Head of Mergers & Acquisitions

Legal Counsel

Finance Manager

Business Development Director

Risk Management Officer

Compliance Officer

Company Secretary

Board Member

Investment Director

Strategy Director

Operations Director

Human Resources Director

Industries
Companies Law (2015): The primary legislation governing company formations, mergers, acquisitions, and corporate governance in Saudi Arabia. It provides the legal framework for business combinations and corporate restructuring.
Competition Law (2019): Regulates market competition and prevents monopolistic practices. Required for ensuring the acquisition doesn't violate anti-trust regulations or create unfair market dominance.
Foreign Investment Law: Governs foreign ownership of Saudi businesses and investments. Critical if any party to the acquisition involves foreign entities or investors.
Capital Market Law: Relevant if either party is a listed company or if the acquisition involves securities trading. Provides regulations for public companies and stock market transactions.
Value Added Tax (VAT) Law: Addresses tax implications of business transfers and asset sales, including VAT obligations and requirements.
Labor Law: Governs employment relationships and workers' rights. Essential for addressing employee transfers and protection of workers' rights during business acquisition.
Commercial Registration Law: Regulates business registration and licensing requirements, necessary for documenting ownership changes and business transfers.
Anti-Money Laundering Law: Ensures compliance with financial transparency requirements and prevents illegal financial transactions in business acquisitions.
Commercial Courts Law: Provides the framework for dispute resolution and enforcement of commercial contracts, including business acquisition agreements.
Zakat, Tax and Customs Authority (ZATCA) Regulations: Governs tax and zakat obligations related to business transfers and acquisitions, including clearance requirements and tax implications.
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Property Purchase Letter Of Intent

A preliminary document under Saudi Arabian law outlining the proposed terms and conditions for a property purchase, serving as a framework for subsequent negotiations and agreements.

find out more

Merger And Acquisition Agreement

A Saudi Arabian law-governed agreement detailing terms and conditions for merging or acquiring companies, ensuring compliance with local regulations and Sharia principles.

find out more

Letter Of Intent Share Purchase Agreement

A preliminary agreement under Saudi Arabian law outlining the key terms for a proposed share acquisition, including both binding and non-binding provisions.

find out more

Company Acquisition Contract

A Saudi Arabian law-governed agreement detailing terms and conditions for company acquisition, including purchase mechanics, warranties, and regulatory compliance requirements.

find out more

Company Acquisition Agreement

A legal agreement under Saudi Arabian law governing the sale and purchase of a company, including all essential terms, conditions, and regulatory compliance requirements.

find out more

Business Acquisition Letter Of Intent

A preliminary document under Saudi Arabian law outlining proposed terms and conditions for a business acquisition, serving as a framework for negotiations and due diligence.

find out more

Business Acquisition Agreement

A Saudi Arabian law-governed agreement detailing terms and conditions for business acquisition through asset or share purchase, ensuring compliance with local regulations and Shariah principles.

find out more

Acquisition Purchase Agreement

A Saudi Arabian law-governed agreement detailing terms and conditions for the purchase and acquisition of a business, assets, or shares.

find out more

Stock Purchase Agreement Private Company

A Saudi Arabian law-governed agreement for the sale and purchase of shares in a private company, ensuring compliance with local regulations and Sharia principles.

find out more

Acquisition Confidentiality Agreement

A Saudi Arabian law-governed agreement protecting confidential information shared during potential acquisition processes, incorporating local legal and Sharia law requirements.

find out more

Share Acquisition Agreement

A Saudi law-governed agreement for the purchase and sale of shares in a company, including transfer terms, warranties, and regulatory compliance requirements.

find out more

Merger And Acquisition Term Sheet

A preliminary agreement under Saudi Arabian law outlining key terms and conditions for a proposed merger or acquisition transaction.

find out more

Letter Of Intent To Purchase Business

A preliminary document under Saudi Arabian law outlining proposed terms for a business acquisition, incorporating both Sharia and commercial law principles.

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: https://www.genieai.co/our-research
Oops! Something went wrong while submitting the form.

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

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

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

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our Trust Centre for more details and real-time security updates.