The venture capital and private equity industries are among the most
characteristic and visible segments of today's global economy. As we approach
the midpoint of the first decade of the 21st century, these industries have
clearly matured and left behind the much-publicized excesses of the 1990s. It
is now incumbent upon practitioners to thoroughly understand the legal
structure of venture capital transactions, not only in their own country but
also due to the typically cross-border nature of such transactions in numerous
jurisdictions worldwide.
This very useful book has been prepared under the auspices of the
International Association of Young Lawyers (AIJA) following a working session
held in Edinburgh in August 2003. It provides practitioners with the first
overview of the legal requirements attached to venture capital transactions in
a variety of jurisdictions, encompassing both developed and developing
nations. An introductory chapter presents a global view, addressing venture
capital issues that tend to arise under any legal circumstances. Then, for
each of twelve countries, an experienced practitioner in the venture capital
field offers detailed discussions of his or her country's legal system as it
pertains to the protection of investors¿ rights and company's investments,
regulatory issues, and enforcement. Specific topics discussed where applicable
for each country include:
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documentation;
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due diligence;
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valuation standards;
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representations and warranties;
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intellectual property;
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compensation of key personnel;
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disclosure;
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exit strategy;
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corporate governance roles;
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tax issues;
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securities law requirements;
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restrictions on foreign direct investment; and
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availability of court orders.
Global Venture Capital Transactions goes a long way to
fulfilling the need of practitioners and entrepreneurs to structure
cross-border venture capital transactions that are not only initially
successful but enjoy continued profitability with the strength to overcome
inevitable obstacles. It will be warmly welcomed by the venture capital and
private equity community throughout the world.
