Sell-side Second Round Bid Process Letter

Summary

This template is a sell-side second round bid process letter containing instructions typically sent by a seller's investment bank advisors to the second round bidder pool in a merger and acquisition auction. This template includes practical guidance and drafting notes. The template describes the items that bidders must include in their second round bids to be considered for selection to participate in the subsequent or final round. At this stage, bidders should have completed most, if not all, of the due diligence review they require for their valuation and transaction planning. This template assumes a seller is auctioning 100% of the total equity of the target company. The template would need to be tailored for the contemplated transaction structure. For more on bid process letters and the auction process generally, see the Auction Process in M&A Deals practice note.