Document background
The Capital Raising Agreement is a crucial document used when companies seek to raise funds through equity or debt financing in Germany. It serves as the primary legal framework governing the investment relationship between the company and its investors, ensuring compliance with German corporate law, including the German Civil Code (BGB), Securities Trading Act (WpHG), and relevant EU regulations. This document is essential for both private and public offerings, detailing everything from basic investment terms to complex regulatory compliance requirements. The agreement typically includes specific provisions required under German law, such as notarization requirements for certain corporate actions, and addresses various aspects of investor protection and corporate governance. The Capital Raising Agreement must be structured to comply with German regulatory requirements while remaining practical and commercially viable for all parties involved.
