shareholders' agreement


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shareholders' agreement

n. an employment agreement among the shareholders of a small corporation permitting a shareholder to take a management position with the corporation without any claim of conflict of interest or self-dealing against the shareholder/manager. Such agreements are common when there are only three or four shareholders.

References in periodicals archive ?
Al Tamimi & Company has successfully acted on behalf of three claimants to obtain interim injunctive relief from the DIFC Court of First Instance against a defendant based in the Emirate of Ajman, in a dispute arising from breaches of various agreements ('the Side Agreement', 'the Shareholders' Agreement' and the 'Lease Agreement') governing the operation of a school in the Emirate.
In 2018, Delivery Hero entered into a Shareholders' Agreement with Glovo by acquiring 16% of Glovo's shares.
Immediately following the closing, RDIF will continue to own the same interest in Voltyre-Prom, subject to the terms of the Agreement and the Shareholders' Agreement. Titan has retained the right to buy back the Titan shares from RDIF for $25M during such three-year period and, if the stock buyback is consummated within one year, at the time of such buyback RDIF would be required to convey to Titan, based on current ownership, a 10.71% interest in Voltyre-Prom, resulting in RDIF reducing its interest in Voltyre-Prom from 35.71% to 25%.
Taking into account the early termination of the concession contract, PDSA, which is the majority shareholder in DCT (66.66%), terminated the shareholders' agreement (joint venture) entered into with DP World on July 27, 2018.
Member of Parliament for Lobatse Mr Sadique Kebonang, had asked the minister if it wag true that shareholders' agreement of Botswana Ash denied overnment any say in the management of BOTASH.
The notification read 'Hub Power Company (HUBCO) has signed the Shareholders' Agreement on March 15, 2018 with Fauji Fertilizer Company Limited (FFC) and China Machinery Engineering Corporation (CMEC) for equity injection into Thar Energy Limited (TEL) by HUBCO of 60%, FFC and 10%.'
For this purpose, a sample of 472 listed companies, not belonging to the financial and funds sector, where 86 of these companies held a shareholders' agreement within the analyzed period.
Having a Shareholders' Agreement setting out how issues which could potentially impact on the business are to be dealt with is not only commercially sensible for the company, but can give comfort to individual shareholders.
The CEO has both an employment and a shareholders' agreement. Are there any concerns for directly taking the action the board chair proposes?
So why do we recommend you have a shareholders' agreement? A shareholders' agreement can set out provisions governing the management of the company and can include matters on which shareholders' approval is needed.
The deal is still subject to closing audit review, the execution of a shareholders' agreement and the delivery by the sellers of the corresponding amended investment certificates, and other corporate documents to be submitted to the relevant governmental authorities of the Socialist Republic of Vietnam necessary to obtain the amended enterprise registration certificate, among others.
Under the terms of the shareholders' agreement between Porta and the Australian Newgate shareholders, Porta has the right to acquire an additional 29% of Newgate Australia from the Australian Newgate Shareholders, consideration for which is to be satisfied by the issue of new ordinary shares of 1p each in Porta.