Definition of Merger

Definition:

A full joining together of two previously separate corporations. A true merger in the legal sense occurs when both businesses dissolve and fold their assets and liabilities into a newly created third entity. This entails the creation of a new corporation.

Related Terms:

Acquisition
Dissolution
Joint Venture

Related Information:

Why Merge?
Merging Wisely
Business Valuation

Related Books:

The Complete Guide to Mergers and Acquisitions
Mergers and Acquisitions from A to Z
More Books about Mergers and Acquisitions

 

 

 

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