Document background
The Securities Purchase Agreement is a crucial transaction document used in Hong Kong for documenting the sale and purchase of securities, whether in private or public companies. It serves as the primary contract between sellers and purchasers of securities, detailing all material terms of the transaction including price, payment mechanisms, representations and warranties, and closing conditions. The agreement must comply with Hong Kong's regulatory framework, particularly the Securities and Futures Ordinance and, where applicable, Stock Exchange requirements. It's commonly used in various contexts including private placements, strategic investments, and pre-IPO funding rounds. The document typically includes comprehensive provisions for due diligence findings, regulatory compliance, and risk allocation between parties, while incorporating specific requirements of Hong Kong securities laws and corporate regulations.
