I wouldn't make an offer. He's not going for middling prospects and that's all I'd be willing to offer-- some combination of Bobby Bradley, Yu Chang, Sam Hentges, Will Benson, Eric Haase, Eli Morgan, etc.
Merrifield is a good player but he's not the type of guy you build a team around so he's not getting an untouchable prospect from anyone let alone two from Cleveland. I totally get the appeal but the cost is way too prohibitive, especially for an organization like the Indians who rely on a steady stream of young players, for it to be worth it.
Furthermore, if you're trading your top two prospects, why would the Indians then turnaround and trade Bauer for prospects? Like, you're all in at that point and going for a World Series Championship this season. You're never getting equal value in return compared to what you've lost so you just have to ride the wave and hope for postseason success and revisit it in the winter.
I just think there's plenty of ways for the Indians to be just as successful this season, position themselves where they can be less selective in a potential Bauer trade AND keep both Jones and McKenzie.