Information Memorandum (IM)

Definition

A comprehensive document prepared by the seller's advisors in an M&A sale process that provides prospective buyers with detailed information about the target business, including its history, products and services, market position, financial performance, management team, growth opportunities, and key risks. The IM is distributed to shortlisted parties after they have signed a non-disclosure agreement and is designed to enable buyers to form a preliminary valuation and submit indicative offers.