2. MERGER A merger is a combination of two or more firms in which only one firm would survive and the other would cease to exist, its assets / liabilities being taken over by the surviving firm
3. Example For Merger In the 1999 merger of GlaxoWellcome and SmithKline Beecham, both firms ceased to exist when they merged, and a new company, GlaxoSmithKline, was created.
4. AMALGAMATION An amalgamation is an arrangement in which the assets /liabilities being taken over by the surviving firm. An amalgamation is an arrangement in which the assets / liabilities of two or more firms become vested in another firm
5. Example: Amalgamation Aditya Birla Nuvo Amalgamation between Aditya Birla Nuvo Ltd. Madura Garments MG Lifestyle Clothing Peter England Fashions
6. ACQUISITION “Acquisition is the process through which one company takes over the controlling interest of another company”- sometimes hostile
7. Example for Acquisition An example of this would be the takeover of Chrysler by Daimler-Benz in 1999 which was widely referred to in the time, and is still now, as a merger of the two corporations.