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Stock Warrant Agreement Template for Switzerland

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Key Requirements PROMPT example:

Stock Warrant Agreement

"I need a Stock Warrant Agreement for our Swiss biotech startup to issue warrants to a strategic investor, allowing them to purchase up to 100,000 shares at CHF 50 per share, exercisable until March 2025, with standard anti-dilution protection and tag-along rights."

Document background
The Stock Warrant Agreement is a crucial instrument in Swiss corporate finance, used when companies wish to grant rights to purchase shares at a future date and predetermined price. This document is particularly relevant in scenarios such as investment rounds, employee incentive schemes, or strategic partnerships. The agreement must comply with Swiss corporate law, particularly the Swiss Code of Obligations and financial market regulations. It typically includes detailed provisions on exercise periods, price adjustments, anti-dilution protection, and corporate action implications. The Stock Warrant Agreement serves as a binding contract that protects both the issuing company's interests and the warrant holders' rights, while ensuring compliance with Swiss regulatory requirements for securities issuance and trading.
Suggested Sections

1. Parties: Identification of the issuing company and the warrant holder(s)

2. Background: Context of the warrant issuance, including corporate authorizations and purpose

3. Definitions: Key terms used throughout the agreement, including technical and financial terminology

4. Grant of Warrant: Specific terms of the warrant grant, including number of shares, exercise price, and warrant certificate details

5. Exercise Period: Timeline during which the warrant can be exercised, including start and end dates

6. Exercise Procedure: Detailed process for exercising the warrant, including notice requirements and payment methods

7. Exercise Price: Specification of the price per share and any adjustment mechanisms

8. Rights of Warrant Holders: Enumeration of warrant holders' rights, including information rights and participation in corporate actions

9. Company Covenants: Company's obligations regarding maintenance of share capital, notifications, and corporate actions

10. Adjustments: Mechanisms for adjusting warrant terms in response to corporate events

11. Transferability: Terms governing the transfer or assignment of warrant rights

12. Representations and Warranties: Standard declarations by both parties regarding authority, capacity, and compliance

13. Termination: Circumstances under which the warrant agreement can be terminated

14. Notices: Communication procedures between parties

15. Governing Law and Jurisdiction: Specification of Swiss law application and jurisdiction for disputes

Optional Sections

1. Anti-Dilution Provisions: Detailed provisions protecting warrant holders from dilution, used when specific anti-dilution protection is required

2. Tag-Along Rights: Rights of warrant holders to participate in sale of shares, included when negotiated as part of the deal

3. Registration Rights: Rights regarding registration of underlying shares, relevant for companies planning public offering

4. Confidentiality: Specific confidentiality obligations, included when warrant terms contain sensitive information

5. Tax Provisions: Specific tax-related provisions, included when special tax considerations apply

6. Multiple Warrant Holders: Provisions governing relationships between multiple warrant holders, used when warrants are issued to multiple parties

7. Foreign Investment Provisions: Special provisions for foreign investors, included when warrant holders are non-Swiss entities

Suggested Schedules

1. Warrant Certificate: Form of the warrant certificate to be issued

2. Exercise Notice: Template for the warrant exercise notice

3. Shareholders' Resolution: Copy of the shareholders' resolution authorizing the warrant issuance

4. Board Resolution: Copy of the board resolution approving the warrant issuance

5. Calculation Methods: Detailed methods for calculating adjustments to warrant terms

6. Share Capital Structure: Current structure of the company's share capital

7. Transfer Form: Template for transferring warrant rights to another party

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
















































Clauses































Relevant Industries

Financial Services

Technology

Biotechnology

Manufacturing

Real Estate

Energy

Healthcare

Telecommunications

Professional Services

Private Equity

Venture Capital

Investment Banking

Startup Ecosystem

Relevant Teams

Legal

Finance

Corporate Development

Compliance

Executive Management

Board of Directors

Corporate Secretariat

Treasury

Investor Relations

Risk Management

Relevant Roles

Chief Executive Officer

Chief Financial Officer

General Counsel

Corporate Secretary

Investment Manager

Finance Director

Legal Counsel

Corporate Development Manager

Investment Banker

Private Equity Manager

Venture Capital Manager

Compliance Officer

Board Member

Corporate Attorney

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

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