Document background
The Private Equity Agreement serves as the primary transaction document for private equity investments in Denmark, establishing the legal framework for the acquisition and ongoing relationship between investors and stakeholders. This document is essential when a private equity fund makes an investment in a target company, whether as a majority or minority stakeholder. It must comply with Danish corporate law requirements, including the Danish Companies Act and relevant financial regulations, while incorporating market-standard PE provisions. The agreement typically covers share purchase terms, governance rights, warranties, exit provisions, and various protective mechanisms for investors. It's particularly important in the Danish context where specific local law considerations, such as corporate governance requirements and shareholder rights, must be carefully addressed while maintaining alignment with international PE practice.
