Bid Process Letter (M&A Glossary)

Summary

This letter accompanies the confidential information memorandum distributed to potential bidders in an M&A auction. Typically drafted by the transaction attorneys in consultation with the investment bank advisor, a bid process letter frequently addresses: (i) the auction schedule (i.e., timetable, number of bidding rounds and deadlines for bid submissions); (ii) instructions for obtaining data room access; (iii) contact information for all notices and communications; and (iv) terms bidders should include in an offer package.