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Letter Examples for a Subscription of Shares

This template provides example letters for various scenarios related to the subscription of shares, suitable for a Southern African business context. It can be adapted for different stages of the share subscription process.

Updated 15d ago
equity fundingsharessubscriptioninvestmentcorporate lawSouthern Africa

Company Letterhead

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

Date and Reference

{{date}}

Our Ref: {{reference_number}}

Addressee Details

{{addressee_name}}

{{addressee_address}}

Subject: Offer to Subscribe for Shares in {{company_name}}

Dear {{addressee_name}},

We are pleased to offer you the opportunity to subscribe for shares in {{company_name}} (the “Company”). This offer is made in accordance with the terms and conditions outlined in the attached Subscription Agreement and the Company's Memorandum of Incorporation.

Details of the Offer

The Company is offering to issue {{number_of_shares}} ({{number_of_shares_words}}) ordinary shares with a par value of {{par_value_currency}} {{par_value_amount}} each, at a subscription price of {{subscription_price_currency}} {{subscription_price_amount}} per share.

The total consideration for the subscription of these shares will be {{total_consideration_currency}} {{total_consideration_amount}}.

These shares will rank *pari passu* with the existing ordinary shares of the Company in all respects.

Subscription Process

To accept this offer, please complete and sign the enclosed Subscription Agreement and return it to us, along with proof of payment for the total subscription amount, by no later than {{response_deadline_date}}.

Payment should be made by electronic funds transfer to the following account:

Bank Name: {{bank_name}}

Account Name: {{account_name}}

Account Number: {{account_number}}

Branch Code: {{branch_code}}

SWIFT Code: {{swift_code}} (if applicable)

Please use {{payment_reference}} as your payment reference.

Disclaimer and Further Information

This letter does not constitute an offer to the public as contemplated by any applicable securities legislation. This offer is personal to you and is not transferable.

We recommend that you seek independent professional advice regarding the financial, tax, and legal implications of subscribing for shares in the Company.

Should you have any questions or require further information, please do not hesitate to contact {{contact_person}} at {{contact_email}} or {{contact_phone_number}}.

Signature Block

Yours faithfully,

-------------------------

{{authorised_signatory_name}}

{{authorised_signatory_title}}

For and on behalf of {{company_name}}

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