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Mergers and Acquisitions

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Mergers and Acquisitions Mergers and acquisitions (M&A) are defined as a combination of companies. When two companies combine together to form one company, it is termed as Merger of companies. While acquisitions are where one company is taken over by the company. In the case of Merger, the acquired company ends to exist and becomes part of the acquiring company. In the case of Acquisition, the acquiring company takes over the majority stake in the acquired company, and the acquiring company continues to be In existence. In short one in acquisition one business/organization buys the other business/organization. Definition: Merger – When two companies combines together to form one company, it is termed as merger of companies. The two companies end to exist and new company is formed. Acquisition – In case of acquisition, the acquiring company takes over the majority stake in the acquired company, and acquiring company continues to be in existence....