Buying 40% of a Kuwait company: what approvals and due diligence do we need before signing?

Question

I’m negotiating to buy 40% of a Kuwait-based business from the current shareholders. We want to sign quickly but I’m worried about hidden debts, required government approvals, and shareholder consent. What steps and documents should be in place before we sign or pay a deposit?

Alfahad &amp; Partners Law Firm · Accepted Answer

Before proceeding, you should carry out financial and legal due diligence to identify any hidden debts, liabilities, regulatory issues, or consent requirements, and you should only move forward on the basis of a properly drafted Share Purchase Agreement that includes robust representations and warranties, indemnities, and conditions precedent to protect you against any undisclosed risks or threats arising before completion.

Buying 40% of a Kuwait company: what approvals and due diligence do we need before signing?

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Alfahad & Partners Law Firm

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