Clients typically rely on our corporate restructuring services if they experience deteriorating performance, have liquidity concerns, or have experienced the loss of key management or customers. In each case, we have the skills to manage international restructuring, whilst also expertly managing relations with trade unions and other labour representatives. We lead corporate boards and all other stakeholders through restructuring plans. These plans include downsizing, outsourcing, moving key functions to other countries and both the acquisition of businesses and their sale.
Types of Corporate Restructuring – Priyanka Blog Thoughts
Corporate Restructuring means any change in the business capacity or portfolio that is carried out by inorganic route or any change in the capital structure of a company that is not in the ordinary course of its business or any change in the ownership of a company or control over its management or a combination of any two or all of the above.
Types of Corporate Restructuring
Mergers / Amalgamation
Acquisition and Takeover
Demerger (spin off / split up / split off)
Reduction of Capital
Buy back of Securities
Merger / Amalgamation: A merger is a combination of two or more businesses into one business. Laws in India use the term ‘amalgamation’ for merger. Amalgamation is the merger of one or more companies with another or the merger of two or more companies to form a new company, in such a way that all assets and liabilities of the amalgamating companies become assets and liabilities of the amalgamated company.
Corporate restructuring – SlideShare
Corporate restructuring is the process ofredesigning one or more aspects of a company.The process of reorganizing a company may beimplemented due to a number of differentfactors, such as positioning the company to bemore competitive, survive a currently adverseeconomic climate, or poise the corporation tomove in an entirely new direction. Here aresome examples of why corporate restructuringmay take place and what it can mean for thecompany.1RubySharma, CBS ,Landran,Mohali
Types of Corporate Restructuring. Corporate Restructuring : means any change in the business capacity or portfolio that is carried out by inorganic route or any change in the capital structure of a company that is not in the ordinary course of its business or any change in the ownership of a company or control over its management or a combination of any two or all of the above.
A merger is a combination of two or more businesses into one business. &aws in )ndia use the term *amalgamation+ for merger. Amalgamation is the merger of one or more companies with another or the merger of two or more companies to form a new company, in such a way that all assets and liabilities of the amalgamating companies become assets and liabilities of the amalgamated company
Types of Corporate Reorganization | Chron.com
Corporations reorganize and restructure for various reasons and in numerous ways. The bottom line usually is, well, the bottom line. Companies reorganize to increase profits and improve efficiency. The reorganization of a company typically addresses the efficiency component in an attempt to increase profits. It’s not unusual for a corporation to reorganize on the heels of changes at the top. A new CEO often sees reorganization as a cure for a company’s ills, and companies sometimes hire a new leader based specifically on his vision for reorganization. Reorganization Reasons
Corporate reorganization normally occurs following new acquisitions, buyouts, takeovers, other forms of new ownership or the threat or filing of bankruptcy, according to the Thinking Managers website. The VC Experts website reports that reorganizations involve major changes in a corporation’s equity base, such as converting outstanding shares to common stock or a reverse split — combining a company’s outstanding shares into fewer shares. Reorganizations often occur when companies already have attempted new venture financing but failed to increase company value.
Type A: Mergers and Consolidations
Section 368 of the IRS Revenue Code identifies seven types of corporate reorganizations. As reported by Tax Almanac, the first recognized reorganization type is a statutory merger or acquisition. Mergers and consolidations are both based on the acquisition of a corporation’s assets by another company, according to the firm Greenstein, Rogoff, Olsen & Co., LLP.
Types of corporate restructuring – CAclubindia
In today’s era Mergers, Amalgamations, takeovers has become day to day activity. Many mergers and amalgamations are taking place all over the world. We all are well acquainted to these words. When two or more companies are added together to form a new entity for better synergy, we terms it as merger or amalgamation. But there are many types of corporate restructuring which people combine under the umbrella of words mergers and amalgamation. Let us try to understand the difference between these terms. The words merger and amalgamation are always interchangeably used. Many interpret mergers and amalgamations as synonyms. Indian Companies Act, 1956 does not differentiate between the words Merger and Amalgamation, however there is slight difference in merger and amalgamation. Merger is combination of two or more companies which can be done either by way of amalgamation or by way of absorption. Amalgamation is the process where two or more companies dissolve their identity to form a new entity. For example, merger of Brooke Bond and Lipton has formed a new entity called Brooke Bond Lipton India Limited.