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Difference between amalgamation and merger

Tanish Bhutani (16 Points)

07 August 2023

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Mahesh Shah (2308 Points)
Replied 07 August 2023

Amalgamation......when more than 2 companies loose identity to form new company
merger.....identity of merging company is lost and absorbed by company in which it is merged

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Yasaswi Gomes new (Finance ) (4514 Points)
Replied 07 August 2023

Indas there is no amalgamation and mergers apart from consolidation

sabyasachi mukherjee (27574 Points)
Replied 08 August 2023

Amalgamation and merger are two different concepts..
1. amalgamation' - two companies having synergies whatsoever join hands in order to have some strategic advantages.
There are probably two seperate company's identity form a different company with different name.
2. Merger is a different concept altogether
a) two companies merge one of them merge.So one companys identity is lost.

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Yasaswi Gomes new (Finance ) (4514 Points)
Replied 08 August 2023

That's finance concept synergies not accounting. Infact no clue in standards about its treatment. Let's guess, it's simply a take over or aquisition.

Yasaswi Gomes new (Finance ) (4514 Points)
Replied 08 August 2023

B combination

A transaction or other event in which an acquirer obtains control of one or more businesses. Transactions sometimes referred to as 'true mergers' or 'mergers of equals' are also business combinations as that term is used in [IFRS 3]

This is also equivalent to indas