BNET Business Dictionary
Business Definition for: Merger
- the union of two or more organizations under single ownership, through the direct acquisition by one organization of the net assets or liabilities of the other. A merger can be the result of a friendly takeover, which results in the combining of companies on an equal footing. After a merger, the legal existence of the acquired organization is terminated. There is no standard definition of a merger, as each union is different, depending on what is expected from the merger, and on the negotiations, strategy, stock and assets, human resources, and stockholders of the players. Four broad types of mergers are recognized. A horizontal merger involves firms from the same industry, while a vertical merger involves firms from the same supply chain. A circular merger involves firms with different products but similar distribution channels. A conglomerate company is produced by the union of firms with few or no similarities in production or marketing but that come together to create a larger economic base and greater profit potential.
- Also known as One-to-one Merger
- See also Partnership
Wiktionary Definition for: Merger
- #the act of combining or putting together two teams, businesses or firms.
- Ex:''He was opposed to the merger of the two companies''.
- Ex:''The merger of the two main rebel groups in war-torn http://en.wikipedia.org/wiki/Darfur Darfur could simplify peace talks but also rebels could harden their position in the talks and complicate peace process, analysts say.''
Additional Resources
- How to Execute a Merger
- Planning and brokering an M&A deal is the easy part. It's after the ink is dry that the real work begins. Here's how to navigate this critical period in five key steps. Set Expectations GOAL: Ensure...
- Articles 2008-05-06
- UK regulator rocks concert merger
- BRITAIN'S anti-trust regulator ruled that a proposed merger of Ticketmaster Entertainment and a major promoter and venue operator - both US companies - would inhibit the possible entry of a major new player in the ticketing market. The Competition Commission said the proposed merger of Ticketmaster, the UK's dominant ticket...
- News items 2009-10-09
- How to Survive a Mega-Merger
- The recent flurry of merger and acquisition activity around T-Mobile and Cadbury suggests the big deal is back in. What does this mean for the people in those companies? Historically, big mergers have been precarious at best, with many such alliances mired in integration challenges, both operationally and culturally for...
- Blog posts 2009-09-09
- How to Plan a Merger
- How to Plan a MergerM&A and Value PropositionsThis is a great article with solid and proven steps to implementing an integration of two companies. Executives and shareholders often overlook the most critical piece of any integration, the people! I have seen executives spend countless hours on the due diligence of...
- Discussion threads 2007-09-22
- BA-Iberia Merger Agreement Not Imminent
- By Rhys Jones and Robert Hetz LONDON/MADRID (Reuters UK) - A merger between British Airways BAY and Spain's Iberia IBLA is unlikely to be finalised this week, an industry source said on Thursday, after Britain's Sky News reported that a deal was set to be announced. "The talks are still...
- News items 2009-11-12
- Merger Momentum And Investor Sentiment: The Stock Market Reaction To Merger Announcements
- The term merger momentum has been doing the rounds of the merger process prevalent in the corporate sector. Merger momentum is defined as a correlation between the market reaction to a merger announcement and the recent market conditions. It has been observed that the merger market has given positive reaction...
- White papers 2003-11-01
- Qantas and BA Merger Talks Grounded
- By Mark Bendeich and John Bowker SYDNEY/LONDON (Reuters UK) - Australia's Qantas Airways and British Airways called off talks for a $6.4 billion (4.1 billion pound) merger, leaving the British carrier to consider other combinations with European peers as the sector grapples with falling demand and volatile fuel prices. Qantas...
- News items 2009-08-07
- Analyst: A Comcast-Time Warner Cable Merger Would Be Justified
- Picture this: a mega merger of Comcast and Time Warner Cable. A proposal to merge the two largest domestic operators -- which is sure to alarm uneasy cable TV subscribers and federal regulators -- is the brainchild of Citigroup analyst Jason Bazinet. His exhaustive analysis in a...
- Blog posts 2009-09-10
- UK Antitrust Body Warns Against Ticketmaster-Live Nation Merger
- The proposed merger of Ticketmaster and concert promoter Live Nation (NYSE: LYV) would hurt competition in the live ticket market in the UK and lead to high prices for fans, according to the country’s Competition Commission.In a provisional ruling its views will be updated in a final report,...
- External links 2009-10-08
- BA, Iberia Merger Hinges on Pension Deficit
- By Tracy Rucinski and Rhys JonesMADRID (Reuters UK) - British Airways' pension fund deficit could yet scupper its planned merger with Spain's Iberia, as the UK airline still has to agree the size of the multi-billion pound shortfall with the fund's trustees.Iberia, which on Friday posted a bigger than expected...
- News items 2009-11-13
- BA, Iberia Merger Hinges on Pensions
- By Tracy Rucinski and Rhys JonesMADRID (Reuters UK) - British Airways' BAY pension fund deficit could yet scupper its planned merger with Spain's Iberia IBLA, as the airline still has to agree the size of the multi-billion pound shortfall with the fund's trustees.Iberia, which on Friday posted a bigger than...
- News items 2009-11-14
- Merger Arbitrage: Evidence of Profitability
- Merger arbitrage is widely considered one of the principal areas of hedge fund investment. While the investment process of merger arbitrage is generally known, less information exists, at least in the practitioner community, as to academic research as to the basis for various merger activity as well as to the...
- White papers 2003-01-01
- Evaluating The Performance Of Merger Simulation: Evidence From The U.S. Airline Industry
- From the executive summary: ‘The paper uses merger simulations to predict post-merger prices for six major airline mergers and compares the predictions with actual post-merger prices. Simulations, which incorporate varying degrees of post-merger information, allow us to decompose the actual price changes into the component effects. The results suggest that...
- White papers 2003-01-01
- The Union Pacific / Southern Pacific Rail Merger: A Retrospective On Merger Benefits
- Merger is a strategy wherein two organizations merge their strategic assets and operations. A merger is effected with the objective of achieving economies of scale, increased efficiencies, and increased profitability. However, prior to the merger, it is imperative to assess the conformity between the two organizations to be merged and...
- White papers 2004-03-11
- Salton enters into merger agreement with Applica.(FieldReports)
- LAKE FOREST, Ill. -- Housewares giant Salton Inc. announced on Feb. 12 that its wholly-owned subsidiary, SFP Merger Sub, and APN Holding Company have entered into a definitive merger agreement whereby SFP Merger Sub will merge with and into APN Holdi LAKE FOREST, Ill. -- Housewares...
- Research articles 2007-03-01
- Telecom-Telematics merger completed. (ECI Telecom)
- ECI Telecom and Telematics have completed the merger of Telematics with an ECI Telecom subsidiary. (See IBTno. 348, p. 3.) Telematics approved the merger at a recently held stockholders meeting. The merger is being effected by means of a tax free exc ECI Telecom and Telematics...
- Research articles 1994-01-07
- The very model of the merging of major mutuals. (Phoenix Mutual Life Insurance Co., Home Life Insurance Co. merger, to become Phoenix Home Life)
- Phoenix Mutual Life Insurance Co and Home Life Insurance Co began merger negotiations in 1991. Although rating agencies and regulators did not believe the merger would take place, the procedure went relatively smoothly, and the merger is 90% complete in tPhoenix Mutual Life Insurance Co and Home Life Insurance Co...
- Research articles 1992-07-20
- Growth Merger Inc. Acquires NEAH Power Systems, Inc
- SEATTLE -- Growth Merger Inc., (Pink Sheets:GMGI), announced here today that it had completed the acquisition of NEAH Power, Inc., through the merger of NEAH Power with a newly formed acquisition subsidiary of Growth Merger. Following completion of the transaction, Growth Merger intends to change its corporate name to NEAH...
- Research articles 2006-03-15
- Critical Path, Inc. Enters into Merger Agreement to Take Company Private
- SAN FRANCISCO -- Critical Path, Inc. (OTC:CPTH) ("Critical Path"), a leading provider of messaging software and services, announced today that it has entered into a definitive merger agreement with CP Holdco, LLC, a Delaware limited liability company ("Newco"), and CP Merger Co., a California corporation and wholly owned subsidiary of...
- Research articles 2007-12-06
- Chase and J.P. Morgan shareholders approve merger; Set December 31st to merger.
- M2 PRESSWIRE-28 December 2000-CHASE: Chase and J.P. Morgan shareholders approve merger; Set December 31st to merger C1994-2000 M2 COMMUNICATIONS LTD RDATE:22122000 Morgan & Co. Incorporated today announced that, at separate meetings, their respective shareholders had approved the merger of the...
- Research articles 2000-12-28
