TRANSACTION FORMALITIES, RULES AND PRACTICAL
CONSIDERATIONS
Types of private equity transactions
What different types of private equity transactions occur in
your jurisdiction?What structures are commonly used in private
equity investments and acquisitions?
In Iran, private equity (PE) transactions occur in venture
capital, growth capital, buyouts and leveraged buyouts and
acquisitions, and public-to-private transactions. PE transactions
generally consist of purchasing a controlling stake in private
companies. In some cases, the PE companies will acquire 100 per
cent of shares of the private company. They invest in acquiring the
shares and other investment instruments, such as proft
participation rights or a silent partnership interest. They can
also invest in private companies by granting loans in exchange for
the company's shares. PE entities can invest in public
non-stock companies and public stock companies not accepted by the
Stock Exchange Organization.
