Document background
The Share Price Agreement is a crucial document used in Swiss corporate transactions to establish and regulate the process of determining share prices between parties. This agreement is particularly relevant in scenarios involving private company sales, corporate restructurings, shareholder exits, and M&A transactions. It operates within the framework of Swiss law, specifically the Swiss Code of Obligations and relevant financial market regulations. The document typically includes detailed mechanisms for price calculation, potential adjustments, payment terms, and dispute resolution procedures. A Share Price Agreement becomes essential when parties need a clear, legally binding framework for determining share values, especially in situations involving complex valuation methods, multiple share classes, or when the price determination depends on various financial or performance metrics. The agreement helps prevent future disputes by providing clarity on the valuation process and ensuring all parties understand their rights and obligations under Swiss law.
