Unified UAE Legislation Database

Template: Term Sheet

Status

In force

Issuing Authority

Effective date

XX.XX.XXXX

Official Link

https://

[Company's Letterhead]

 

TERM SHEET

FOR THE PROPOSED SERIES [specify] INVESTMENT IN

 

[Company's Name], a company incorporated in [Jurisdiction]

 

This Term Sheet summarizes the principal terms for the proposed investment in [Company's Name] (the "Company") by [Name of Investor] (the "Investor"). 

 

This Term Sheet is confidential and non-binding, except for the sections titled "Confidentiality," "Exclusivity," and "Governing Law," which shall be legally binding.

 

1. Key Investment Details

Investor[Name of Investor]
Investment Amount[specify]

 

2. Key Rights and Terms

 

2.1. Liquidation Preference

In the event of a liquidation event (e.g., sale, merger, dissolution), the holders of the Preferred Shares will be entitled to receive, in preference to the holders of Ordinary Shares, an amount equal to [specify] the original purchase price for their shares plus any declared but unpaid dividends. After this payment, any remaining proceeds will be distributed pro-rata among all shareholders (including holders of Preferred Shares on an as-converted basis).

 

2.2. Anti-Dilution

The Preferred Shares will have a [specify - e.g., Broad-Based Weighted-Averag...