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A share purchase agreement (SPA) is an agreement between 2 parties in which the seller agrees to sell the stated number of shares to the buyer at a particular price. The aim of the document is to prove that the terms of the agreement were mutually agreed upon.
Such an agreement specifies the consideration and the number of shares to be sold, the conditions precedent (the authorisations necessary, for example) and covenants by the parties. The shares will be allotted after this agreement is signed (and on the basis of this agreement).
An agreement between two parties in which the seller agrees to sell the stated number of shares to the buyer at a particular price.
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