Definition
A Notice of Guaranteed Delivery (NGD) is the formal document used in the guaranteed-delivery procedure. It is signed by:
- The tendering shareholder
- An “eligible institution” — typically a bank or broker that is a member of a Medallion Signature Guarantee program
The institution guarantees delivery of the certificates and properly completed letter of transmittal within 2 NYSE trading days after expiration.
Why it matters
The NGD is what makes the guaranteed-delivery procedure binding. Without an eligible institution’s signature, the depositary won’t accept the late delivery.
Filing
Submitted to the depositary by the offer expiration time. Templates are typically appended to the offer-to-purchase as exhibits.