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 Page 1


Index
Introduction
Definitions
Types of Amalgamation
Methods of Accounting for 
Amalgamations
Consideration
Disclosures
Page 2


Index
Introduction
Definitions
Types of Amalgamation
Methods of Accounting for 
Amalgamations
Consideration
Disclosures
Introduction
? What is Amalgamation
?
? Two are More Companies join to form new 
Company
? Absorption or blending of one by other
? Amalgamation includes
? Amalgamation
? Absorption
? External Reconstruction
Page 3


Index
Introduction
Definitions
Types of Amalgamation
Methods of Accounting for 
Amalgamations
Consideration
Disclosures
Introduction
? What is Amalgamation
?
? Two are More Companies join to form new 
Company
? Absorption or blending of one by other
? Amalgamation includes
? Amalgamation
? Absorption
? External Reconstruction
Introduction(Cont..)
• Existing Companies A Ltd.  And B Ltd. are 
wound up and a new company C Ltd. is 
formed to take over businesses of A & B
Amalgamation
• An existing company A ltd takes over 
business of B ltd, which is wound up
Absorption
• A new Company X ltd is formed to take over 
the Business of as existing company Y ltd, 
which is wound up
External 
Reconstruction
Page 4


Index
Introduction
Definitions
Types of Amalgamation
Methods of Accounting for 
Amalgamations
Consideration
Disclosures
Introduction
? What is Amalgamation
?
? Two are More Companies join to form new 
Company
? Absorption or blending of one by other
? Amalgamation includes
? Amalgamation
? Absorption
? External Reconstruction
Introduction(Cont..)
• Existing Companies A Ltd.  And B Ltd. are 
wound up and a new company C Ltd. is 
formed to take over businesses of A & B
Amalgamation
• An existing company A ltd takes over 
business of B ltd, which is wound up
Absorption
• A new Company X ltd is formed to take over 
the Business of as existing company Y ltd, 
which is wound up
External 
Reconstruction
Introduction(Cont..)
Page 5


Index
Introduction
Definitions
Types of Amalgamation
Methods of Accounting for 
Amalgamations
Consideration
Disclosures
Introduction
? What is Amalgamation
?
? Two are More Companies join to form new 
Company
? Absorption or blending of one by other
? Amalgamation includes
? Amalgamation
? Absorption
? External Reconstruction
Introduction(Cont..)
• Existing Companies A Ltd.  And B Ltd. are 
wound up and a new company C Ltd. is 
formed to take over businesses of A & B
Amalgamation
• An existing company A ltd takes over 
business of B ltd, which is wound up
Absorption
• A new Company X ltd is formed to take over 
the Business of as existing company Y ltd, 
which is wound up
External 
Reconstruction
Introduction(Cont..) Introduction(Cont..)
• Existing Companies A Ltd.  And B Ltd. are 
wound up and a new company C Ltd. is 
formed to take over businesses of A & B
Amalgamation
• An existing company A ltd takes over 
business of B ltd, which is wound up
Absorption
• A new Company X ltd is formed to take over 
the Business of as existing company Y ltd, 
which is wound up
External 
Reconstruction
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