Ƶ

Equity Buyback Agreement for Indonesia

Equity Buyback Agreement Template for Indonesia

An Equity Buyback Agreement under Indonesian law is a legally binding document that governs the repurchase of shares by a company from its existing shareholders. The agreement must comply with Law No. 40 of 2007 on Limited Liability Companies and relevant OJK regulations, particularly regarding capital maintenance rules, corporate approvals, and shareholder rights. The document outlines the terms and conditions of the share buyback, including purchase price, completion mechanics, regulatory compliance requirements, and necessary corporate and regulatory approvals. It incorporates specific Indonesian law requirements for share buybacks, including limitations on the percentage of shares that can be repurchased and the mandatory holding period for treasury shares.

Your data doesn't train Genie's AI

You keep IP ownership of your information

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

Download a Standard Template

4.6 / 5
4.8 / 5
Access for free
OR

Alternatively: Run an advanced review of an existing
Equity Buyback Agreement

Let Ƶ's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.

What is a Equity Buyback Agreement?

The Equity Buyback Agreement is a crucial document used when an Indonesian company wishes to repurchase its own shares from existing shareholders, whether for treasury stock, capital reduction, or as part of a broader corporate strategy. This document is essential in scenarios such as share price stabilization, excess cash utilization, or shareholder exit arrangements. The agreement must strictly comply with Indonesian regulatory framework, particularly Law No. 40 of 2007 and OJK regulations, which set specific requirements for share buybacks including maximum buyback limits, pricing mechanisms, and holding periods. The document becomes especially critical for listed companies where additional regulatory oversight applies. It should address key aspects such as purchase price determination, payment terms, conditions precedent, and necessary corporate and regulatory approvals, while ensuring protection of minority shareholder interests as required under Indonesian law.

What sections should be included in a Equity Buyback Agreement?

1. Parties: Identification of the company conducting the buyback and the selling shareholder(s)

2. Background: Context of the buyback, including company status, existing shareholding structure, and purpose of the buyback

3. Definitions: Definitions of key terms used throughout the agreement

4. Sale and Purchase of Shares: Core transaction terms including number of shares, price per share, and total consideration

5. Conditions Precedent: Prerequisites that must be satisfied before the buyback can proceed, including regulatory approvals and corporate authorizations

6. Completion Mechanics: Detailed process for executing the buyback, including timing, documentation, and payment procedures

7. Representations and Warranties: Standard declarations by both parties regarding their capacity, authority, and ownership of shares

8. Corporate Approvals: Required company approvals including shareholder resolutions and board approvals

9. Regulatory Compliance: Compliance with Indonesian company law and OJK regulations regarding share buybacks

10. Tax Provisions: Treatment of taxes arising from the transaction

11. Confidentiality: Obligations to maintain confidentiality of the transaction and related information

12. Governing Law and Dispute Resolution: Choice of Indonesian law and dispute resolution mechanisms

13. Miscellaneous: Standard boilerplate provisions including notices, amendments, and severability

What sections are optional to include in a Equity Buyback Agreement?

1. Foreign Investment Compliance: Required when the selling shareholder is a foreign entity or when foreign ownership restrictions apply

2. Market Announcement: Required for listed companies to comply with disclosure obligations

3. Share Retention Requirements: Applicable when there are restrictions on remaining shareholders' ability to sell their shares

4. Employee Matters: Required when the selling shareholder is an employee or when the buyback affects employee share schemes

5. Related Party Transaction Provisions: Required when the buyback involves related parties under Indonesian company law

6. Competition Law Compliance: Required when the buyback might trigger competition law considerations

7. Security Interest Release: Required when the shares are subject to any existing security interests or encumbrances

What schedules should be included in a Equity Buyback Agreement?

1. Share Details: Detailed description of the shares being bought back, including share certificates numbers and shareholder history

2. Completion Checklist: List of documents and actions required for completion of the buyback

3. Form of Transfer Instruments: Template share transfer forms and other required transfer documentation

4. Corporate Authorizations: Copies of relevant board resolutions, shareholder approvals, and other corporate authorizations

5. Regulatory Approvals: Copies of required regulatory approvals and filings

6. Calculation of Purchase Price: Detailed breakdown of share price calculation and any adjustments

7. Tax Calculations: Details of applicable taxes and withholding requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Indonesia

Publisher

Ƶ

Document Type

Equity Agreement

Cost

Free to use
Relevant legal definitions








































Clauses




































Relevant Industries

Financial Services

Manufacturing

Technology

Real Estate

Consumer Goods

Energy

Mining

Healthcare

Telecommunications

Retail

Professional Services

Agriculture

Infrastructure

Transportation

Education

Relevant Teams

Legal

Finance

Corporate Secretarial

Compliance

Treasury

Tax

Investor Relations

Risk Management

Corporate Communications

Board Secretariat

Corporate Development

Corporate Finance

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Corporate Secretary

Legal Director

Finance Director

Compliance Officer

Corporate Treasurer

Investment Relations Manager

Financial Controller

Board Director

Commissioner

General Counsel

Tax Manager

Corporate Finance Manager

Risk Management Officer

Company Director

Shareholder Relations Manager

Industries







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

Shadow Equity Agreement

An Indonesian law-governed agreement providing synthetic equity rights that mirror the economic benefits of share ownership without actual share transfer.

Download

Business Equity Agreement

An Indonesian law-governed agreement establishing terms for equity ownership and transfer in an Indonesian company, including shareholder rights and obligations.

Download

Private Equity Fund Subscription Agreement

An Indonesian law-governed agreement documenting an investor's subscription to a private equity fund, including investment terms and regulatory compliance requirements.

Download

Employer Employee Agreement

An Indonesian law-compliant employment agreement establishing terms and conditions between employer and employee, aligned with Law No. 13 of 2003 on Manpower.

Download

Future Equity Agreement

An Indonesian law-governed agreement allowing investors to provide funding in exchange for future equity rights, with conversion triggered by subsequent financing rounds.

Download

Sweat Equity Contract

An Indonesian law-governed agreement for the exchange of services for company equity, with defined vesting conditions and performance requirements.

Download

Equity Linked Agreement

An Indonesian law-governed agreement linking contractual obligations to equity performance, subject to OJK regulations and Capital Markets Law.

Download

Equity For Services Agreement

An Indonesian law-governed agreement where a company compensates a service provider with equity shares instead of cash payment for their services.

Download

Employment Bargaining Agreement

An Indonesian law-governed collective agreement between employer and unions establishing employment terms and conditions in accordance with Law No. 13 of 2003 on Manpower.

Download

Founder Equity Agreement

An Indonesian law-governed agreement establishing equity arrangements and rights between company founders, compliant with Law No. 40 of 2007 on Limited Liability Companies.

Download

Startup Employee Equity Agreement

An Indonesian law-governed agreement outlining terms for granting company equity to startup employees, including vesting schedules and regulatory compliance requirements.

Download

Private Equity Finders Fee Agreement

An Indonesian law-governed agreement establishing terms for finder's services in private equity investments, including fee structures and regulatory compliance requirements.

Download

Restricted Stock Grant Agreement

An Indonesian law-governed agreement for granting restricted company shares to employees/executives, subject to vesting conditions and regulatory compliance.

Download

Equity Incentive Agreement

An Indonesian law-governed agreement establishing terms for granting equity-based incentives to company personnel, ensuring compliance with local corporate and securities regulations.

Download

Convertible Agreement Regarding Equity

An Indonesian law-governed convertible investment agreement allowing for future conversion of investment into company equity, compliant with local regulations.

Download

Equity Buyout Agreement

An Indonesian law-governed agreement detailing the terms and conditions for purchasing equity shares in a company, including price, warranties, and regulatory compliance requirements.

Download

Employee Training Reimbursement Agreement

An Indonesian law-compliant agreement establishing terms for employer-sponsored training and employee reimbursement obligations if service commitments are not met.

Download

Private Equity Investment Agreement

An Indonesian law-governed agreement establishing terms and conditions for private equity investment, including investment structure, shareholder rights, and regulatory compliance requirements.

Download

Phantom Stock Agreement

An Indonesian law-governed agreement establishing phantom stock arrangements between company and participant, providing equity-like incentives without actual share issuance.

Download

Equity Loan Agreement

An Indonesian law-governed agreement establishing terms for a loan secured by equity shares as collateral, incorporating local regulatory requirements and security arrangements.

Download

Equity Pledge Agreement

An Indonesian law security document creating a pledge over shares in an Indonesian company as collateral for secured obligations.

Download

Standby Equity Purchase Agreement

An Indonesian law-governed agreement establishing an investor's commitment to purchase newly issued shares on a standby basis, subject to OJK regulations.

Download

Restricted Stock Unit Agreement

An agreement governing the grant of restricted stock units to employees under Indonesian law, outlining vesting conditions and compliance requirements.

Download

Employee Equity Agreement

Indonesian law-governed agreement establishing terms for employee equity ownership, including vesting, exercise rights, and compliance with local corporate regulations.

Download

Standby Equity Distribution Agreement

An Indonesian law-governed agreement establishing a committed equity financing facility where an investor agrees to purchase newly issued shares from a company on a periodic basis.

Download

Equity Participation Agreement

An Indonesian law-governed agreement detailing terms and conditions for equity investment in a target company, including share subscription, governance rights, and regulatory compliance.

Download

Equity Grant Agreement

An Indonesian law-governed agreement establishing terms for granting company equity to recipients, compliant with local corporate and securities regulations.

Download

Equity Financing Agreement

An Indonesian law-governed agreement establishing terms and conditions for equity investment in an Indonesian company, including share allocation, investor rights, and governance requirements.

Download

Vested Equity Agreement

An Indonesian law-governed agreement establishing terms for gradual equity ownership in a company through a vesting schedule.

Download

Private Equity Subscription Agreement

An Indonesian law-governed agreement detailing terms and conditions for private equity investment through share subscription in a target company.

Download

Equity Transfer Agreement

An Indonesian law-governed agreement for transferring company shares, outlining terms, conditions, and regulatory compliance requirements.

Download

Equity Contribution Agreement

A legal agreement governed by Indonesian law that establishes the terms for an investor's capital contribution to a company in exchange for equity shares.

Download

Equity Buyback Agreement

An Indonesian law-governed agreement for a company to repurchase its shares from existing shareholders, complying with Indonesian company law and OJK regulations.

Download

Limited Partnership Agreement Private Equity

An Indonesian law-governed agreement establishing a private equity limited partnership structure, defining relationships between General and Limited Partners and key operational terms.

Download

Equity Ownership Agreement

An Indonesian law-governed agreement establishing terms for company share transfers and ownership rights, compliant with local corporate and investment regulations.

Download

Employee Stock Options Agreement

An Indonesian law-governed agreement setting out terms for granting company stock options to employees, including vesting conditions and exercise rights.

Download

Employment Agency Contract

An Indonesian law-governed agreement between an employment agency and client company for worker placement services and related obligations.

Download

Employment Agency Agreement

An Indonesian law-governed agreement between an employment agency and client company for recruitment and placement services.

Download
See more related templates

ұԾ’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; ұԾ’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

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

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