164 Merger relief

Merger relief is designed to apply to a take-over in which part or all of the consideration paid by the acquiring company takes the form of shares in that company. Thus, relief applies where a company (‘the issuing company’) has secured at least a 90% equity holding in another company1, under an arrangement providing for the allotment of equity shares in the issuing company, in return for either the issue or transfer to the issuing company of equity shares in the other company, or for the cancellation of any equity shares2 of the other company not already

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to LexisLibrary or register for a free trial