Document background
An Asset Purchase Letter of Intent is a crucial preliminary document used in Malaysian business transactions when one party intends to purchase specific assets from another. It serves as a roadmap for the transaction, outlining key terms while maintaining flexibility for detailed negotiations. This document is particularly important in the Malaysian context, where it helps parties navigate local regulatory requirements and business practices. While generally non-binding, it demonstrates serious intent and typically includes binding provisions for confidentiality and exclusivity. The document is commonly used before committing to extensive due diligence or detailed negotiations, providing a structured framework for the proposed transaction while allowing parties to address jurisdiction-specific considerations under Malaysian law.
