Document background
The Put And Call Option Deed is a sophisticated legal instrument commonly used in corporate and investment transactions in Hong Kong. It is particularly relevant in joint venture arrangements, investment exits, and strategic business relationships where parties want to establish clear mechanisms for future ownership transfers. The document provides a binding framework for both put options (right to sell) and call options (right to buy), typically used when parties want to create certainty around future exit possibilities or strategic alignments. This deed must comply with Hong Kong's legal framework, including the Securities and Futures Ordinance and Companies Ordinance, and typically includes detailed provisions on exercise periods, pricing mechanisms, completion requirements, and various conditions precedent. It's commonly used in conjunction with shareholders' agreements, investment agreements, or as part of larger corporate restructuring arrangements.
