Tag archives: shareholders’ agreement

Shareholders’ agreements: right of first refusal versus right of first offer

Photo of Troy Ungerman (Toronto)By Troy Ungerman (Toronto) on Posted in Governance and directors' liability, M&A
It is common for shareholders of a closely held corporation to set out the rules that govern their relationship vis-à-vis one another in the form of a shareholder agreement. One key concern for shareholders when negotiating a shareholder agreement is controlling the transfer of shares to unknown or undesirable persons, while still maintaining liquidity in … Continue reading

Common liquidity rights in private equity investments in early stage companies

Photo of Tommy WongBy Tommy Wong on Posted in Corporate finance, Governance and directors' liability
Early stage companies face an uphill climb in growing their business and ensuring their viability going forward. Private equity firms can provide capital as well as significant operational and transactional expertise to aid in a company’s growth. However, private equity investors often intend to exit any investment within a defined time period. As a result, … Continue reading
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