International Research Journal of Commerce , Arts and Science

 ( Online- ISSN 2319 - 9202 )     New DOI : 10.32804/CASIRJ

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MERGERS AND ITS BENEFITS TO COMPANIES

    1 Author(s):  DR.SANGAPPA.S.RAMPURE

Vol -  11, Issue- 10 ,         Page(s) : 149 - 153  (2020 ) DOI : https://doi.org/10.32804/CASIRJ

Abstract

A merger is a combination of two or more business entities. It has many of the characteristics of both an asset purchase and a stock purchase. In it’s simplest form a "surviving" company will issue cash, new stock or a combination of cash and stock to shareholders of a "disappearing" company in exchange for the stock in the disappearing company. The surviving company then takes title to all the disappearing corporation's assets and liabilities, and the disappearing company ceases to exist.

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