Document background
A Letter of Intent to Sell Shares is commonly used in Singapore as a preliminary step in share transfer transactions. This document is typically employed when parties have reached initial agreement on key terms but before proceeding with detailed due diligence and final documentation. The Letter of Intent serves to outline the fundamental terms of the proposed transaction, including share quantity, price, conditions, and timeline. While generally non-binding, it demonstrates commitment to the transaction and can include binding provisions regarding confidentiality and exclusivity. In Singapore's business environment, this document helps establish clear communication between parties and often serves as a reference point for subsequent negotiations and definitive agreements.
