Share Deal
In a share deal, the buyer acquires shares in the company rather than individual assets.
A share deal transfers shares in an existing company. The company continues to hold its assets, contracts, and obligations. The buyer’s rights depend on the size of the stake and the shareholder agreements.
Financial, legal, and tax risks are reviewed before the acquisition. Existing contracts may include consent requirements or change-of-control provisions. Tax advantages and disadvantages require case-specific assessment. An Asset Deal, by contrast, transfers specified assets and rights.
Related terms
In a share deal, the buyer acquires shares in the company rather than individual assets.
Related terms