Document background
The Letter Of Intent To Sell Shares Template is a crucial preliminary document used in UAE business transactions when one party intends to sell shares to another. This document serves as a formal expression of interest and outlines the basic terms of the proposed transaction while maintaining its primarily non-binding nature. It is particularly important in the UAE business environment, where formal documentation of intentions is highly valued in commercial relationships. The document typically precedes a full Share Purchase Agreement and is governed by UAE Federal Law No. 32 of 2021 and related regulations. It provides a structured framework for negotiations, includes confidentiality provisions, and often contains key terms such as preliminary pricing, exclusivity periods, and due diligence requirements. This template is especially valuable in complex transactions where parties need to document their preliminary understanding before committing to detailed legal documentation.
