¶¶Òõ¶ÌÊÓƵ

All Countries
Mergers & Acquisitions
Preferred Stock Purchase Agreement

Preferred Stock Purchase Agreement Template for Pakistan

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Preferred Stock Purchase Agreement

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

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Preferred Stock Purchase Agreement

"Need a Preferred Stock Purchase Agreement for a Series A investment of PKR 50 million from a foreign venture capital firm, with 8% cumulative dividends and 1x liquidation preference, closing expected by March 2025."

Celebrated by
Collaborations with
Investors
Document background
The Preferred Stock Purchase Agreement is a crucial document used when a company seeks to raise capital by issuing preferred shares to investors in Pakistan. This agreement is particularly important for growth-stage companies and startups looking to secure institutional investment while maintaining operational control. The document must comply with Pakistani corporate law, particularly the Companies Act 2017 and Securities Act 2015, and typically includes detailed provisions about share rights, corporate governance, and investor protections. It's commonly used in Series A or later funding rounds where investors require preferential rights such as liquidation preferences, anti-dilution protection, and board representation. The agreement serves as the foundational document for the investment relationship, protecting both the company's and investors' interests through carefully negotiated terms and conditions.
Suggested Sections

1. Parties: Identification of the Company and the Investor(s), including their legal names, registration details, and addresses

2. Background: Context of the transaction, including company's current capital structure and purpose of the investment

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

4. Purchase and Sale of Preferred Shares: Details of the preferred shares being sold, including number, class, and price per share

5. Closing: Timing and mechanics of the transaction closing, including conditions precedent and required deliverables

6. Representations and Warranties of the Company: Company's statements about its legal status, financial condition, and business operations

7. Representations and Warranties of the Investor: Investor's statements about their capacity and authority to enter into the agreement

8. Rights and Preferences of Preferred Stock: Detailed terms of the preferred stock, including dividend rights, liquidation preferences, and conversion rights

9. Covenants: Ongoing obligations of the parties, including information rights and corporate governance matters

10. Indemnification: Terms for compensating parties for losses arising from breaches of the agreement

11. Miscellaneous: Standard legal provisions including governing law, notices, amendments, and assignment

Optional Sections

1. Anti-dilution Protection: Provisions protecting investors from dilution in future rounds, included when negotiated by investors

2. Registration Rights: Rights related to future public offerings, typically included for larger investments or when IPO is contemplated

3. Board Composition: Specific provisions about board seats and voting rights, included when investors negotiate board representation

4. Tag-Along Rights: Co-sale rights protecting minority investors, included in deals with multiple investors

5. Drag-Along Rights: Forcing minority shareholders to join in company sale, included when majority investors require exit rights

6. Foreign Investment Provisions: Special provisions for compliance with foreign investment laws, included when investors are non-Pakistani

7. Multiple Closing Provisions: Mechanics for multiple investment tranches, included for staged investments

Suggested Schedules

1. Schedule A - Capitalization Table: Detailed breakdown of company's share capital before and after the investment

2. Schedule B - Disclosure Schedule: Exceptions and qualifications to company's representations and warranties

3. Schedule C - Rights and Preferences: Detailed terms of the preferred stock including dividend rates, conversion prices, and liquidation preferences

4. Schedule D - Required Consents: List of third-party and governmental approvals needed for the transaction

5. Schedule E - Key Employees: List of key employees and their agreements with the company

6. Appendix 1 - Form of Legal Opinion: Template of legal opinion to be delivered at closing

7. Appendix 2 - Corporate Resolutions: Form of corporate resolutions approving the transaction

8. Appendix 3 - Investor Questionnaire: Form for collecting investor information and accreditation status

Authors

Alex Denne

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

alex.den.21@genieai.co
Relevant legal definitions
Clauses



































Relevant Industries

Technology and Software

Financial Services

Healthcare and Biotechnology

E-commerce

Manufacturing

Renewable Energy

Real Estate Development

Telecommunications

Education Technology

Agriculture Technology

Logistics and Supply Chain

Professional Services

Relevant Teams

Legal

Finance

Corporate Development

Executive Leadership

Investment

Corporate Governance

Compliance

Treasury

Board of Directors

Mergers and Acquisitions

Relevant Roles

Chief Executive Officer

Chief Financial Officer

General Counsel

Corporate Secretary

Investment Manager

Venture Capital Partner

Private Equity Director

Corporate Lawyer

Investment Banker

Board Director

Company Director

Chief Legal Officer

Investment Analyst

Corporate Development Manager

Financial Controller

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

Sale Of Share Agreement

A Pakistani law-governed agreement documenting the terms and conditions for the sale and purchase of shares in a company, including price, warranties, and completion mechanics.

find out more

Simple Share Purchase Agreement

A basic agreement under Pakistani law for the sale and purchase of company shares, suitable for straightforward share transfers.

find out more

Preferred Stock Purchase Agreement

A Pakistani law-governed agreement for the purchase of preferred shares, detailing investor rights and company obligations under local corporate regulations.

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: /our-research
Oops! Something went wrong while submitting the form.

³Ò±ð²Ô¾±±ð’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; ³Ò±ð²Ô¾±±ð’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

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

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

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our for more details and real-time security updates.

Read our Privacy Policy.