The legal regulation of the convertible loan agreement in corporate relations

The author of the article analyzes the provisions of the law on a convertible loan agreement aimed at attracting financing for the activities of a non-public business company with the possibility of subsequent conversion of claims into shares of the borrower company. The author comes to the conclusion that the convertible loan agreement contains elements of a civil loan agreement and a corporate obligation to increase the authorized capital and transfer shares or a share in the authorized capital to the lender in fulfillment of the agreement. The article examines the theoretical and practical aspects of the legal regulation of a convertible loan agreement in corporate relations, analyzes the nature of the agreement, the subject matter of the agreement, the essential conditions, the procedure for concluding and executing a convertible loan agreement.