RAG-Stiftung, a prominent investment foundation based in Germany, acquired a 55% equity stake in SecurView, Inc., a cybersecurity firm with operations in India through its wholly owned subsidiary, SecurView Systems Private Limited (SecurView India). Majmudar & Partners provided comprehensive legal advisory services on the Indian aspects of this cross-border private equity transaction.

Facilitating the Transaction

Majmudar & Partners delivered tailored solutions to address the complexities of this acquisition:

• Due Diligence on the Indian Subsidiary: Conducted an in-depth review of SecurView India’s corporate compliance, financial records, and cybersecurity licenses, identifying potential legal and regulatory risks.
• Regulatory Approvals: Assisted in obtaining necessary approvals from Indian authorities, including compliance with the Foreign Exchange Management Act (FEMA), 1999 and sector-specific regulations applicable to cybersecurity businesses.
• Cross-Border Tax Structuring: Advised on tax-efficient structuring of the investment to minimize liabilities associated with dividends and capital gains between the U.S., Germany, and India.
• Transaction Documentation: Drafted and negotiated key transaction documents such as the share purchase agreement and shareholders’ agreement, ensuring alignment with Indian legal requirements.

This strategic acquisition enabled RAG-Stiftung to expand its investment portfolio into the cybersecurity sector, leveraging SecurView, Inc,’s expertise and its presence in India’s fast-growing tech market. Majmudar & Partners ensured the deal’s successful execution by addressing the intricate legal, regulatory, and compliance challenges.

Majmudar & Partners excels in facilitating cross-border private equity investments in India’s thriving industries. Contact us today to explore how our expertise can support your investment objectives and ensure compliance with India’s legal landscape.