In this course you will learn how a private equity firm secures an "exclusivity period" to evaluate an investment opportunity. This is done by executing a letter of intent, but before the letter of intent is signed the private equity firm must compete with all potential bidders.
The confidentiality agreement (also known as a non-disclosure agreement) is a legal agreement between parties to keep confidential the information required to review a transaction. While the objective is nearly always the same, the format never is. Lacking a uniform standard means that each CA must be reviewed and sometimes edited before it is executed. In this lesson we will explore why this document is so important and highlight items to be aware of.
In this lesson you will learn about the indication of interest (IOI). The indication of interest (IOI) is a non-binding document prepared by the buyer and delivered to the investment banker representing the transaction to communicate interest in the investment opportunity presented.