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Highly Confident Letter |
Also found in: Wikipedia | 0.02 sec. |
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Highly confident letter An investment banking firm's letter indicating that the firm is highly confident it will be able to arrange financing for a securities deal. Highly Confident Letter A letter issued by an investment bank stating that is believed it can arrange the necessary financing for an acquisition. A highly confident letter is made at the behest of the potential acquirer. While they have no legal status, highly confident letters can assuage nervous investors and persuade them that a deal can be completed, even though not all financing mechanisms have been arranged. Highly confident letters originated in the 1980s and were primarily used by corporate raiders.
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