Can anybody explain what is reversemerger?
Reverse Merger
umaa's legal clinic (simple solutions for complex legal issues) (165 Points)
05 January 2009
3 Replies
CS Arpita Rajpurohit
(Company Secretary)
(1111 Points)
Replied 05 January 2009
Reverse Merger’ is a coined term generally used in those cases of mergers where a company having higher networth is merging into a company having networth lower than it.
here a profit making co. merges into a loss making co.
CA Sudhir Halakhandi
(PRACTICING CHARTERED ACCOUNTANT)
(13401 Points)
Replied 05 January 2009
The acquisition of a public company by a private company, allowing the private company to bypass the usually lengthy and complexprocess of going public.
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