I'm advising a friend who is selling her company in an asset purchase arrangement. The acquirer is offering stock to the investors in her company. However, the acquirer is asking that the stock be given first to the entity for her company and held there for a year before being distributed to the shareholders. Is this standard practice in a stock-for-stock asset purchase agreement?
(I know this is a question for a lawyer but she's low on cash at the moment so trying to get as much "free advice" as possible.)