Ƶ

Equity Stake Agreement for Philippines

Equity Stake Agreement Template for Philippines

An Equity Stake Agreement under Philippine law is a comprehensive legal document that governs the sale and purchase of shares in a company, establishing the terms and conditions of an investor's equity investment. The agreement must comply with the Revised Corporation Code of the Philippines and related regulations, including foreign ownership restrictions where applicable. It details the investment amount, share allocation, shareholder rights, governance structures, and various protective provisions for all parties involved. The document typically includes mechanisms for share transfers, pre-emptive rights, and board representation, while ensuring alignment with Philippine securities regulations and corporate governance requirements.

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 Stake Agreement

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

What is a Equity Stake Agreement?

The Equity Stake Agreement is a crucial document used when an investor acquires an ownership interest in a Philippine corporation through the purchase of shares. This agreement is essential for both domestic and foreign investments, subject to Philippine foreign ownership restrictions in certain industries. The document serves multiple purposes: it formalizes the investment terms, protects both the investor's and company's interests, establishes governance mechanisms, and ensures compliance with Philippine corporate and securities laws. The agreement typically comes into play during funding rounds, strategic investments, or when companies seek to expand their capital base. It must be structured in accordance with the Revised Corporation Code of the Philippines, the Securities Regulation Code, and other relevant legislation, particularly considering any foreign ownership limitations that may apply to specific sectors.

What sections should be included in a Equity Stake Agreement?

1. Parties: Identification of all parties to the agreement, including the company, existing shareholders, and the investor(s)

2. Background: Context of the transaction, including brief company history and purpose of the investment

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

4. Investment Terms: Details of the equity investment, including number of shares, price per share, and total investment amount

5. Completion Mechanics: Process and requirements for completing the investment, including conditions precedent and closing requirements

6. Representations and Warranties: Statements of fact and assurances from both the company and the investor

7. Shareholder Rights: Basic rights of shareholders, including voting rights, dividend rights, and information rights

8. Transfer Restrictions: Limitations on the transfer of shares and processes for permitted transfers

9. Pre-emptive Rights: Rights of existing shareholders to maintain their percentage ownership in future share issuances

10. Board Composition: Structure and composition of the board of directors post-investment

11. Confidentiality: Obligations regarding confidential information

12. Governing Law and Jurisdiction: Specification of Philippine law as governing law and jurisdiction for disputes

13. General Provisions: Standard boilerplate clauses including notices, amendments, and severability

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

1. Tag-Along Rights: Include when minority shareholders need protection to sell their shares alongside majority shareholders

2. Drag-Along Rights: Include when majority shareholders need the right to force minority shareholders to join in the sale of the company

3. Anti-dilution Protection: Include when investors need protection against future down rounds

4. Earn-Out Provisions: Include when part of the investment is contingent on achieving specific performance targets

5. Vesting Provisions: Include when shares are subject to vesting schedules, typically for founder or employee shareholders

6. Put and Call Options: Include when parties need specific rights to sell or buy shares under certain conditions

7. Non-Compete and Non-Solicitation: Include when restrictions on competitive activities are required

8. Foreign Ownership Compliance: Include when foreign investors are involved to ensure compliance with Philippine foreign ownership restrictions

What schedules should be included in a Equity Stake Agreement?

1. Schedule 1: Capital Structure: Detailed breakdown of the company's share capital before and after the investment

2. Schedule 2: Conditions Precedent: List of all conditions that must be satisfied before completion

3. Schedule 3: Warranties: Detailed warranties given by the company and existing shareholders

4. Schedule 4: Reserved Matters: List of decisions requiring special majority or investor approval

5. Schedule 5: Company Information: Key company information including corporate documents and material contracts

6. Appendix A: Share Certificate Form: Template for the share certificates to be issued

7. Appendix B: Deed of Adherence: Template for new shareholders to become bound by the agreement

8. Appendix C: Corporate Authorities: Copies of board and shareholder resolutions approving the transaction

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

Philippines

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions




















































Clauses


































Relevant Industries

Technology

Manufacturing

Real Estate

Financial Services

Healthcare

Retail

Agriculture

Energy

Transportation

Education

Construction

Food and Beverage

Professional Services

Media and Entertainment

Telecommunications

Relevant Teams

Legal

Finance

Corporate Development

Compliance

Risk Management

Executive Leadership

Board of Directors

Corporate Secretariat

Investment

Strategy

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Chief Legal Officer

Corporate Secretary

Investment Director

Legal Counsel

Corporate Lawyer

Investment Manager

Business Development Director

Finance Director

Compliance Officer

Board Director

Managing Director

Venture Capital Partner

Private Equity Manager

Company Secretary

Risk Manager

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

Find the exact document you need

Real Estate Investment Operating Agreement

A Philippine law-governed agreement establishing operational terms and management structure for real estate investments, including investor rights, responsibilities, and profit-sharing arrangements.

Download

Share Partner Agreement

A Philippine law-governed agreement establishing share-based partnership terms, rights, and obligations between business partners.

Download

Capital Raising Agreement

A Philippine law-governed agreement establishing terms and conditions for company capital raising, ensuring compliance with local securities and corporate regulations.

Download

Investment Contract For Small Business

A Philippine law-governed agreement establishing terms and conditions for small business investment, including rights, obligations, and regulatory compliance requirements.

Download

Private Equity Fund Subscription Agreement

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

Download

Term Sheet For Share Purchase Agreement

A Philippine law-governed preliminary agreement outlining key terms and conditions for a proposed share purchase transaction, serving as the basis for a definitive Share Purchase Agreement.

Download

Stock Broker Agreement

A Philippine law-governed agreement between a stock broker and client establishing terms for securities trading services and regulatory compliance.

Download

Short Term Investment Contract

A Philippine law-governed agreement establishing terms for short-term investments, including investment parameters, returns, and regulatory compliance requirements.

Download

Share Trust Agreement

A Philippine law-governed agreement establishing a trust arrangement for corporate shares, detailing trustee duties, beneficiary rights, and regulatory compliance requirements.

Download

Private Investment Agreement

A Philippine law-governed agreement establishing terms and conditions for private investment in a company, including investment terms, shareholder rights, and regulatory compliance requirements.

Download

Mou Agreement For Investment In Business

A preliminary investment agreement under Philippine law outlining proposed terms and conditions for business investment, serving as a framework for future definitive agreements.

Download

Investment Protection Agreement

A Philippine law-governed agreement that protects investor rights and ensures compliance with local investment regulations while providing comprehensive investment safeguards.

Download

Bilateral Investment Agreement

A Philippine law-governed agreement establishing investment terms between foreign and local entities, incorporating key local investment regulations and protections.

Download

Future Equity Agreement

A Philippine law-governed agreement for future conversion of investment into equity shares, typically used in startup funding.

Download

Stock Buy Back Agreement

A Philippine law-governed agreement facilitating a corporation's repurchase of its own shares from existing shareholders, compliant with local corporate and securities regulations.

Download

Shareholders Agreement And Share Subscription Agreement

A Philippine law-governed agreement combining share subscription terms and ongoing shareholder relationships, establishing rights, obligations, and governance structure between shareholders and the company.

Download

Purchase Term Sheet

A preliminary document under Philippine law that outlines key terms and conditions for a proposed purchase transaction, serving as a framework for negotiations and subsequent definitive agreements.

Download

Purchase Of Shares Agreement

A Philippine law-governed agreement for the sale and transfer of shares between parties, including terms of sale, warranties, and completion requirements.

Download

Memorandum Of Agreement For Investment

A Philippine law-governed agreement that establishes the terms and conditions for an investment transaction, ensuring compliance with local investment regulations while protecting all parties' interests.

Download

Deed Of Sale Of Shares Of Stock

A formal legal document used in the Philippines for transferring share ownership between parties, governed by Philippine corporate and securities laws.

Download

Business Investment Contract

A Philippine law-governed agreement establishing terms and conditions for business investment transactions, including investment structure, ownership rights, and regulatory compliance.

Download

Venture Capital Agreement

A Philippine law-governed agreement establishing terms and conditions for venture capital investment, including investment structure, shareholders' rights, and governance mechanisms.

Download

Stock Share Agreement

A legally binding agreement for the transfer of company shares between parties, compliant with Philippine corporate and securities laws.

Download

Startup Investment Term Sheet

A Philippine law-governed document outlining key terms and conditions for startup investment, serving as a basis for final investment agreements.

Download

Return On Investment Contract

A Philippine law-governed agreement establishing investment terms, returns calculation, and parties' rights and obligations in an investment arrangement.

Download

Preference Share Agreement

A Philippine law-governed agreement establishing the terms and conditions for issuing preferred shares, including dividend rights, voting rights, and other preferential terms.

Download

Non Discretionary Investment Advisory Agreement

A Philippine-compliant agreement for non-discretionary investment advisory services, establishing advisor-client relationships under local securities regulations.

Download

Loss Share Agreement

A Philippine law-governed agreement establishing terms for sharing losses between parties on specified assets or portfolios, including calculation methods and claims procedures.

Download

Discretionary Investment Advisory Agreement

A Philippine-law governed agreement authorizing an investment adviser to make discretionary investment decisions on behalf of a client, subject to SEC regulations and agreed parameters.

Download

Agreement For Transfer Of Shares

A legal agreement under Philippine law facilitating the transfer of company shares from a seller to a buyer, including all terms, conditions, and regulatory requirements.

Download

Restaurant Investment Contract

A Philippine law-governed agreement establishing terms for restaurant investment, including ownership, operations, and profit-sharing arrangements.

Download

Investment Club Operating Agreement

A Philippine-law governed agreement establishing an investment club's structure, operations, and member relationships in compliance with local securities regulations.

Download

Agreement To Sell Shares Of A Company

A Philippine law-governed agreement documenting the terms and conditions for the sale and transfer of company shares between parties.

Download

Share Investment Agreement

A Philippine law-governed agreement documenting terms and conditions for share investment in a company, including investment terms, rights, and obligations.

Download

Preferred Stock Subscription Agreement

A Philippine law-governed agreement for the subscription of preferred shares, detailing share rights, privileges, and investment terms.

Download

Wholesale Real Estate Purchase Agreement

A Philippine law-governed agreement for wholesale real estate transactions, enabling property purchase with assignment rights for resale to end buyers.

Download

Stock Purchase Agreement Term Sheet

A preliminary document under Philippine law outlining key terms and conditions for a proposed stock purchase transaction, serving as the foundation for a definitive agreement.

Download

Equity Shares Agreement

A Philippine law-governed agreement detailing the terms and conditions for the transfer of company shares, including price, rights, and obligations of the parties involved.

Download

Term Sheet For Investors

A preliminary agreement outlining key investment terms and conditions for company funding in the Philippines, serving as a basis for definitive investment documents.

Download

Limited Partnership Agreement Venture Capital

A Philippine-law governed agreement establishing a limited partnership structure for venture capital investments, defining relationships between managing partners and investors.

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