Pitchbook

Investment banks compete for mandates to advise on mergers, acquisitions, share offerings, debt raisings and other transactions. A pitchbook is their sales tool, showing why the client should hire them and what they propose.

A typical pitchbook includes an overview of the bank's credentials and relevant past deals, an analysis of the client's industry and position, valuation analysis using several methods, potential buyers, targets or investors, and a proposed transaction structure and timeline.

For example, a bank hoping to advise a company on selling one of its divisions might present a pitchbook showing recent sales of similar businesses, a valuation range for the division and a list of potential buyers.

Pitchbooks are typically prepared by junior bankers under tight deadlines and can be long and detailed. The term is also used in private equity and asset management for presentations to investors. A pitchbook differs from a teaser or confidential information memorandum, which describe a business to potential buyers once a sale process has begun.