Ƶ

Stock Subscription Agreement for Saudi Arabia

Stock Subscription Agreement Template for Saudi Arabia

A comprehensive legal agreement governed by Saudi Arabian law that documents the terms and conditions under which an investor (subscriber) agrees to purchase shares in a company. The agreement complies with Saudi Companies Law and Capital Market Authority regulations, detailing the number of shares being subscribed to, the price per share, payment terms, representations and warranties, and closing conditions. It includes specific provisions required under Saudi law regarding share capital requirements, foreign ownership restrictions (if applicable), 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
Stock Subscription Agreement

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

What is a Stock Subscription Agreement?

The Stock Subscription Agreement is a crucial document in Saudi Arabian corporate transactions, used when a company issues new shares to investors or when existing shares are being subscribed to by new shareholders. This agreement must comply with the Saudi Companies Law, Capital Market Authority regulations, and other relevant local legislation. It's particularly important in private placements, company formations, and capital increases, detailing all aspects of the share subscription including payment terms, warranties, and regulatory compliance. The document includes specific provisions required under Saudi law, such as minimum capital requirements, foreign investment restrictions if applicable, and necessary corporate approvals. This agreement type is essential for both private and public companies in Saudi Arabia seeking to formalize share subscriptions while ensuring compliance with local regulatory requirements.

What sections should be included in a Stock Subscription Agreement?

1. Parties: Identification of the Company and the Subscriber(s)

2. Background: Context of the transaction, including company information and purpose of the subscription

3. Definitions and Interpretation: Key terms used throughout the agreement and rules of interpretation

4. Subscription and Payment: Details of shares being subscribed to, price per share, and payment terms

5. Conditions Precedent: Conditions that must be satisfied before the subscription becomes effective

6. Closing: Mechanics and timing of the closing process, including deliverables

7. Representations and Warranties: Statements of fact and assurances from both the Company and Subscriber

8. Subscriber's Undertakings: Ongoing commitments and obligations of the Subscriber

9. Company's Undertakings: Ongoing commitments and obligations of the Company

10. Term and Termination: Duration of the agreement and circumstances allowing termination

11. Confidentiality: Obligations regarding confidential information

12. Notices: Process and requirements for formal communications between parties

13. Governing Law and Jurisdiction: Confirmation of Saudi law application and dispute resolution procedures

14. General Provisions: Standard boilerplate clauses including amendments, assignments, and severability

What sections are optional to include in a Stock Subscription Agreement?

1. Regulatory Compliance: Required for public offerings or when specific CMA regulations apply

2. Foreign Investment Provisions: Required when subscribers include non-Saudi investors

3. Tag-Along Rights: Optional protection for minority shareholders

4. Drag-Along Rights: Optional provision for majority shareholders

5. Anti-dilution Protection: Optional protection against future share issuances

6. Board Representation: Optional rights for substantial shareholders to appoint directors

7. Dividend Rights: Optional specific provisions about dividend entitlements

8. Share Transfer Restrictions: Optional limitations on transfer of subscribed shares

9. Shareholder Reserved Matters: Optional list of actions requiring specific shareholder approval

What schedules should be included in a Stock Subscription Agreement?

1. Schedule 1 - Share Subscription Details: Detailed breakdown of shares, price, and payment schedule

2. Schedule 2 - Company Information: Corporate details, registration information, and existing share capital structure

3. Schedule 3 - Conditions Precedent: Detailed list of all conditions to be satisfied before closing

4. Schedule 4 - Closing Deliverables: List of documents and actions required at closing

5. Schedule 5 - Form of Subscription Notice: Template for formal subscription notice

6. Schedule 6 - Corporate Authorizations: Copies of relevant board and shareholder resolutions

7. Schedule 7 - Warranties: Detailed warranties given by the Company and/or Subscriber

8. Appendix A - Articles of Association: Current or amended Articles of Association reflecting the subscription

9. Appendix B - Regulatory Approvals: Copies of required governmental or regulatory approvals

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

Saudi Arabia

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions




















































Clauses










































Relevant Industries

Financial Services

Banking

Technology

Real Estate

Manufacturing

Healthcare

Retail

Energy

Telecommunications

Professional Services

Construction

Mining

Agriculture

Education

Transportation

Hospitality

Relevant Teams

Legal

Finance

Corporate Governance

Compliance

Investment

Risk Management

Corporate Secretariat

Business Development

Corporate Affairs

Treasury

Investor Relations

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Legal Counsel

Corporate Secretary

Investment Manager

Compliance Officer

Board Director

Managing Director

Finance Director

Corporate Governance Officer

Investment Banker

Private Equity Manager

Venture Capital Manager

Risk Manager

General Counsel

Legal Director

Company Secretary

Financial Controller

Business Development 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

Investment Shareholder Agreement

A Saudi Arabian law-governed agreement establishing shareholders' rights and obligations in an investment context, including governance, profit sharing, and exit mechanisms.

Download

Investment Banking Contract

A Saudi Arabian law-governed Investment Banking Contract establishing terms for professional investment banking services, compliant with CMA regulations and Sharia principles.

Download

Investment Banking Agreement

A Saudi Arabian law-governed agreement establishing terms for investment banking services, incorporating SAMA and CMA regulations and Shariah compliance requirements.

Download

Hedge Fund Partnership Agreement

A Saudi Arabian law-governed agreement establishing a hedge fund partnership structure, incorporating CMA regulations and Shariah compliance requirements.

Download

Financial Advisor Agreement

A Saudi Arabian law-governed agreement establishing terms for professional financial advisory services, compliant with CMA regulations.

Download

Shareholders Agreement And Share Purchase Agreement

A Saudi Arabian law-governed agreement combining share purchase terms and ongoing shareholder relationships, establishing both transaction mechanics and corporate governance framework.

Download

Investment Contract For Small Business

A Saudi Arabian law-governed agreement establishing terms and conditions for small business investment, ensuring compliance with local regulations and Sharia principles.

Download

Investment Protection Agreement

A Saudi Arabian law-governed agreement protecting foreign investment rights and obligations, ensuring compliance with local regulations and Sharia principles.

Download

Bilateral Investment Agreement

A legal agreement under Saudi Arabian law establishing investment terms and protections between Saudi and foreign entities, ensuring compliance with local regulations and Shariah principles.

Download

Future Equity Agreement

A Saudi Arabian law-governed agreement providing for future equity rights in exchange for current investment, structured to comply with local regulations and Sharia principles.

Download

Purchase Of Shares Agreement

A Saudi Arabian law-governed agreement documenting the sale and purchase of shares, including transaction terms, warranties, and regulatory compliance requirements.

Download

Letter Of Investment Agreement

A formal investment agreement document under Saudi Arabian law outlining investment terms, equity allocation, and parties' rights and obligations.

Download

Joint Investment Agreement

A Saudi Arabian law-governed agreement establishing terms and conditions for joint investments between Saudi and foreign entities, including capital contributions, management, and profit-sharing arrangements.

Download

Investment Repayment Agreement

A Saudi Arabian law-governed agreement that establishes terms for investment repayment, combining conventional and Islamic finance principles.

Download

Capital Investment Agreement

A Saudi Arabian law-governed agreement establishing terms and conditions for capital investment, including investment structure, shareholder rights, and regulatory compliance.

Download

Business Investment Contract

A Saudi Arabian law-governed agreement establishing terms and conditions for business investment, ensuring compliance with local regulations and Sharia principles.

Download

Venture Capital Agreement

A Saudi Arabian law-governed agreement detailing terms and conditions for venture capital investment, including investment structure, shareholder rights, and governance mechanisms.

Download

Term Sheet Share Purchase Agreement

A preliminary agreement outlining key terms for share acquisition under Saudi Arabian law, setting the framework for a detailed Share Purchase Agreement.

Download

Stock Share Agreement

A Saudi Arabian law-governed agreement documenting the transfer of company shares between parties, ensuring compliance with local regulations and Sharia principles.

Download

Investment Syndicate Agreement

A Saudi Arabian law-governed agreement establishing an investment syndicate structure, defining member rights, obligations, and operational framework in compliance with local regulations and Sharia principles.

Download

Investment Owners Contract

A Saudi Arabian law-governed agreement establishing investment ownership terms, conditions, and relationships between investors and their investment vehicle, incorporating both commercial and Shariah compliance requirements.

Download

International Investment Agreement

A Saudi law-governed agreement establishing framework and terms for foreign investment in the Kingdom, ensuring compliance with local regulations and Shariah principles.

Download

Discretionary Investment Advisory Agreement

A Saudi Arabian law-governed agreement authorizing an investment advisor to manage client investments on a discretionary basis under CMA regulations.

Download

Agreement For Transfer Of Shares

A Saudi Arabian law-governed agreement documenting the transfer of company shares between parties, including terms, conditions, and regulatory compliance requirements.

Download

Hedge Fund Limited Partnership Agreement

A Saudi Arabian law-governed agreement establishing a Shariah-compliant hedge fund partnership structure, detailing investor rights, management responsibilities, and regulatory compliance.

Download

Real Estate Holding Company Operating Agreement

A Saudi Arabian legal agreement establishing and governing the operation of a real estate holding company, detailing structure, management, and compliance requirements.

Download

Designated Investment Agreement

A comprehensive agreement governing foreign investment activities in Saudi Arabia, establishing investment terms and regulatory compliance requirements under Saudi law.

Download

Limited Partnership Agreement Venture Capital

A Saudi Arabian law-governed agreement establishing a venture capital fund as a limited partnership, defining relationships between fund managers and investors.

Download

Short Term Investment Agreement

A Sharia-compliant Short Term Investment Agreement under Saudi Arabian law, establishing terms for temporary investment arrangements with profit-sharing mechanisms.

Download

Restaurant Investment Agreement

A Saudi Arabian law-governed agreement establishing terms and conditions for restaurant business investment, including operational, financial, and regulatory requirements.

Download

Real Estate Investment Partnership Agreement

A Saudi Arabian law-governed agreement establishing a partnership structure for real estate investments, incorporating Shariah principles and local regulatory requirements.

Download

Joint Venture Agreement For Real Estate Investing

A Saudi Arabian law-governed agreement establishing a joint venture for real estate investment activities, ensuring compliance with local regulations and Sharia principles.

Download

Debt Investment Agreement

A Shariah-compliant debt investment agreement under Saudi Arabian law, detailing investment terms, profit structure, and compliance requirements.

Download

Cornerstone Investment Agreement

A Saudi Arabian law-governed agreement establishing terms for cornerstone investment in a company's public offering, ensuring CMA compliance and defining investor commitments.

Download

Stock Agreement

A Saudi Arabian law-governed agreement that establishes share ownership terms, transfer rights, and shareholder obligations within a company.

Download

Investment Agency Agreement

A Saudi Arabian law-governed agreement establishing an investment agency relationship between principal and agent, incorporating Shariah compliance and CMA regulations.

Download

Friends And Family Investment Agreement

A Sharia-compliant investment agreement under Saudi Arabian law for structuring investments between family members and friends, including terms for contribution, profit-sharing, and exit strategies.

Download

Profit Sharing Agreement For Investors

A Sharia-compliant profit sharing agreement under Saudi Arabian law that governs investment terms and profit distribution mechanisms between investors and business entities.

Download

Investment Commitment Agreement

Saudi Arabian-governed agreement establishing investment terms and conditions between investors and recipients, including regulatory compliance and governance rights.

Download

Subscription Agreement Private Placement

A Saudi Arabian law-governed agreement for private placement subscription of shares or securities, complying with CMA regulations and local investment requirements.

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