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In an amalgamation, what happens to the shareholders of the amalgamating companies?
  • a)
    They become shareholders of a new entity
  • b)
    They dissolve their companies
  • c)
    They lose their legal identities
  • d)
    They become creditors of the new company
Correct answer is option 'A'. Can you explain this answer?
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In an amalgamation, what happens to the shareholders of the amalgamati...
In an amalgamation, shareholders of amalgamating companies become shareholders of the amalgamated (new) company.
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In an amalgamation, what happens to the shareholders of the amalgamating companies?a)They become shareholders of a new entityb)They dissolve their companiesc)They lose their legal identitiesd)They become creditors of the new companyCorrect answer is option 'A'. Can you explain this answer?
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