Section 232 of CA 2013 : Section 232: Merger And Amalgamation Of Companies

Explanation using Example

Imagine ABC Ltd. and XYZ Ltd. are two companies that plan to merge into a single entity, PQR Ltd. The directors of ABC and XYZ propose a scheme where ABC Ltd. will transfer all its assets, liabilities, and undertakings to XYZ Ltd., which will then be renamed PQR Ltd. To proceed with this merger, they apply to the National Company Law Tribunal (NCLT) under section 230 of the Companies Act, 2013, seeking approval for their proposed arrangement.

The NCLT, under Section 232 of the Companies Act, 2013, directs a meeting of the shareholders and creditors of both companies to approve the merger. The directors prepare all the necessary documents, including a draft scheme, and file them with the Registrar of Companies....

Login to access all pages and read more content.

To disable ads and read rest of the premium content, subscribe to KanoonGPT Pro.