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Investment Banking Contract for Indonesia

Investment Banking Contract Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes the terms and conditions for investment banking services provided by a licensed investment bank to its corporate clients. The document incorporates requirements from the Indonesian Financial Services Authority (OJK), Bank Indonesia regulations, and relevant capital market laws. It covers service scope, fees, obligations, compliance requirements, and risk management procedures while ensuring alignment with both local regulatory frameworks and international banking standards.

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Investment Banking Contract

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What is a Investment Banking Contract?

The Investment Banking Contract serves as the primary legal framework for investment banking relationships in Indonesia, typically used when establishing formal engagement between investment banks and their corporate clients for services such as mergers and acquisitions, capital raising, corporate restructuring, and strategic advisory. The document must comply with Indonesian financial regulations, particularly those set by OJK and Bank Indonesia, while incorporating international banking best practices. It includes detailed provisions for service scope, regulatory compliance, risk management, fees, and operational procedures, making it essential for any significant investment banking transaction in the Indonesian market. The contract type is specifically designed to address the unique aspects of Indonesian banking law while providing flexibility for various investment banking services.

What sections should be included in a Investment Banking Contract?

1. Parties: Identification of the investment bank and the client, including their legal status and registration details

2. Background: Context of the agreement and brief description of the parties' intentions

3. Definitions: Detailed definitions of terms used throughout the agreement, including regulatory and technical terms

4. Scope of Services: Comprehensive description of investment banking services to be provided

5. Appointments and Authority: Formal appointment of the investment bank and scope of its authority

6. Fees and Payment Terms: Details of all fees, commissions, and payment structures

7. Representations and Warranties: Standard and specific representations from both parties

8. Obligations of the Investment Bank: Detailed responsibilities and duties of the investment bank

9. Client's Obligations: Responsibilities and commitments of the client

10. Compliance and Regulatory Requirements: Obligations to comply with Indonesian banking laws and OJK regulations

11. Confidentiality: Provisions regarding confidential information and data protection

12. Term and Termination: Duration of the agreement and termination provisions

13. Indemnification: Mutual indemnification provisions and liability limitations

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

What sections are optional to include in a Investment Banking Contract?

1. International Transactions: Include when services involve cross-border transactions or foreign investments

2. Shariah Compliance: Required when dealing with Islamic banking products or services

3. Special Purpose Vehicle Provisions: Include when the services involve creation or management of SPVs

4. Syndication Provisions: Required when the services include syndicated transactions

5. Research Services: Include when investment research services are part of the scope

6. Green Banking Provisions: Include for environmentally focused investments or ESG requirements

7. Digital Banking Services: Required when services include digital or online banking components

What schedules should be included in a Investment Banking Contract?

1. Schedule 1 - Fee Structure: Detailed breakdown of all fees, commissions, and charges

2. Schedule 2 - Service Level Agreement: Specific performance metrics and service standards

3. Schedule 3 - Compliance Requirements: Detailed regulatory compliance procedures and requirements

4. Schedule 4 - Required Documentation: List of all required documents and forms

5. Schedule 5 - Key Personnel: Details of key team members and their responsibilities

6. Appendix A - Risk Disclosure Statement: Mandatory risk disclosures as per OJK requirements

7. Appendix B - Power of Attorney: Standard form of power of attorney if required

8. Appendix C - Reporting Templates: Standard formats for required reports and notifications

9. Appendix D - KYC Requirements: Know Your Customer documentation requirements

10. Appendix E - Anti-Money Laundering Procedures: Detailed AML procedures and 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

Cost

Free to use
Relevant legal definitions






















































Clauses


















































Relevant Industries

Banking and Financial Services

Capital Markets

Corporate Finance

Investment Management

Private Equity

Mergers and Acquisitions

Securities Trading

Asset Management

Project Finance

Infrastructure Development

Real Estate

Energy and Resources

Technology and Telecommunications

Relevant Teams

Legal

Compliance

Risk Management

Corporate Finance

Investment Banking

Treasury

Corporate Development

Financial Control

Due Diligence

Mergers & Acquisitions

Corporate Strategy

Corporate Advisory

Deal Execution

Transaction Advisory

Regulatory Affairs

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Investment Banking Director

Corporate Finance Manager

Legal Counsel

Compliance Officer

Risk Management Officer

Transaction Manager

Investment Analyst

Corporate Development Director

Treasury Manager

Financial Controller

Due Diligence Specialist

Mergers & Acquisitions Director

Strategy Director

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

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