Diff b/w merger and amalgamation ?
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
04 April 2012
hello experts pls tell what is the main difference between mergers and amalgamations in context of companies act, 1956 ?
whether both are same or what ? pls tell me in context of corporate restructuring ?
whether both are same or what ? pls tell me in context of corporate restructuring ?
04 April 2012
In merger one company is merged in another company while in Amalgamation two company are amalgamating in new company
07 April 2012
The combining of two or more companies, generally by offering the stockholders of one company securities in the acquiring company in exchange for the surrender of their stock.
"A consolidation is the union of two or more corporations into one corporate body, after which the constituent corporations cease to exist.
"A merger is the absorption of one corporation into another....
"[A]malgamation is ... used to designate a consolidation or merger."
For example, Ontario's Business Corporations Act, at section 174, provides that "2 or more corporations ... may amalgamate and continue as one corporation" (RSO 1990 Chapter B16).
Amalgamation is also used in the sense of amalgamating of two or more municipalities to effect cost-savings in the provision of otherwise duplicative municipal services. In this context, Ian MacFee Rogers wrote:
"An amalgamation has been defined as a fusion of two or more legal entities into a continued new union with the obligations, by-laws and assets of the former municipalities."
"A consolidation is the union of two or more corporations into one corporate body, after which the constituent corporations cease to exist.
"A merger is the absorption of one corporation into another....
"[A]malgamation is ... used to designate a consolidation or merger."
For example, Ontario's Business Corporations Act, at section 174, provides that "2 or more corporations ... may amalgamate and continue as one corporation" (RSO 1990 Chapter B16).
Amalgamation is also used in the sense of amalgamating of two or more municipalities to effect cost-savings in the provision of otherwise duplicative municipal services. In this context, Ian MacFee Rogers wrote:
"An amalgamation has been defined as a fusion of two or more legal entities into a continued new union with the obligations, by-laws and assets of the former municipalities."
18 December 2015
https://taxguru.in/company-law/merger-amalgamation-india.html
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- About TDS & Income Tax
- PPF interest-As Exempt Income disclosure
- Pass word to open justification report for Q1 for FY 2026-27
- Scrutiny and reopening of past returns
- Under construction property in ITR
- Section 194JA & JB Income which ITR Form to use
- Upload Level ValidationITR3Category of Defect B/D
- Building tax payment deduction in rental Income
- Not able to file ITR
- Presumptive income under Income tax act 2025
- Rental income of jointly held property
- Regarding ITR filing with more value than showing in AIS/TIS
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
