By Beth Vessel

The U.S. Treasury Department has released the form of securities purchase agreement for privately held financial institutions applying for the capital purchase program.  You can review the securities purchase agreement at this link.  This form of securities purchase agreement does not apply to S corporations. 

Other than differences previously identified in the term sheet for privately held institutions (see our previous post here) and provisions that work better for institutions that are publicly held, such as registration rights provisions, terms of the securities purchase agreement are similar to the terms of the securities purchase agreement for publicly held companies.  A comparison of the new private company securities purchase agreement to the version being used by public companies is available at this link.