1082 | Private Equity Financing – Regulations and Documentation

This course will introduce students to the practice of Private Equity (PE) deal making in India. In particular, the focus of the course will be on regulations applicable to setting up domestic PE fund in India and the regulatory considerations applicable to offshore PE funds investing in India. The latter will include discussions on beneficial ownership rules, competition regulations, RBI and SEBI regulations. In terms of applicable law, the course will also cover a foundational review of key concepts and provisions under Companies Act, 2013, that are pertinent to PE transactions.

In addition, we will be discussing, in detail, key concepts under PE transaction documents (including various types of agreements and specific clauses thereunder). PE investments involve many legal issues which affect deal-structuring, completion timelines, parties’ responsibilities and risk allocation among the transacting parties.

The course will help students explore: (a) the opportunities and constraints created by the laws applicable to PE investments in India (i.e., the pros and cons of the different permissible approaches to PE investments); (b) key concepts under transaction documents relating to fund formation and PE investments; (c) specific issues relating to cross-border PE investments in India (including the FDI policy); and (d) contractual tools available to the parties to identify legal risk, allocate that deal risk and take steps to mitigate those legal risks while operating within the constraints of the applicable law.