Document background
A Share Sale Deed is essential for any transfer of shares in Malaysian companies, serving as the primary transaction document that memorializes the sale and purchase of shares. This document type is used when parties require a formal, deed-based arrangement rather than a simple contract, offering enhanced enforceability and a longer limitation period under Malaysian law. The deed must comply with specific execution requirements under Malaysian law, including proper witnessing and sealing where applicable. It typically contains detailed provisions covering the transaction mechanics, warranties, indemnities, and post-completion obligations. The document is particularly important in Malaysia where share transfers must adhere to strict regulatory requirements, including those under the Companies Act 2016, and may require additional approvals depending on the industry sector and transaction size. A Share Sale Deed is commonly used in both private and public company transactions, though the complexity and specific provisions may vary based on the transaction value and nature of the business being transferred.
