HOW TO REACT TO AN INBOUND M&A APPROACH
Focus only on the buyer that made the approach. Cooperate fully, respond quickly to information requests, dedicate resources to helping them fully understand the company so that they can the best decision. Acquiesce to their request that you not open up dialog with other suitors. . .
Sorry buyers, but this hurts you as much as it hurts your target. If a target follows this approach, they will lose focus, the questions will never stop, and the deal will eventually die of exhaustion.
Shareholders cannot make an informed decision or react intelligently to an offer unless they understand their options. Buyers who fight the hardest to prevent other bidders from entering the arena are typically low ballers trying to take advantage of the situation.
A buyer who makes the first approach has earned the right to be preemptive. If they stall or play games, they lose that right.