Document background
The Shareholders Agreement Transfer Of Shares is a critical document used when one or more shareholders wish to transfer their shares to other parties, whether existing shareholders or new investors. This agreement is particularly important in the Malaysian context, where share transfers must comply with the Companies Act 2016 and various other regulations. The document is typically used in private companies where shares are not freely transferable and requires careful consideration of local corporate law requirements, stamp duty obligations, and potential foreign investment restrictions. It includes essential provisions such as the transfer price, payment terms, warranties, and various conditions that must be met before the transfer can be completed. The agreement also often incorporates provisions for board approval, pre-emptive rights, and other shareholder protections that are common in Malaysian corporate practice.
