What Is The Difference Between Merger And Acquisition?

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What Is The Difference Between Merger And
Acquisition?
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• On the 19th, Facebook, a social networking
  service (SNS), acquired the mobile messenger
  WhatsApp for 19 billion (about 20 trillion won).
  In response, an American civic group put the
  brakes on the issue, saying, There is a risk
  that Facebook may abuse the personal information
  of WhatsApp users. However, Facebook refuted the
  claim of a civic group, saying, Facebook and
  WhatsApp will be operated separately.
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• The reason Facebook was able to separate WhatsApp
  was that it acquired WhatsApp, not what it was.
  Merger and Acquisition are often used in
  conjunction with mergers and acquisitions, but
  mergers and acquisitions are different terms. So,
  what is the difference between mergers and
  acquisitions?

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• Acquisitions are when one company acquires
  control of another company by buying stocks, etc.
  Therefore, the company that is the target of the
  acquisition does not disappear.
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• On the other hand, a merger refers to the merging
  of two companies into one. When two companies
  merge into one, usually one company remains and
  the other company disappears.
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• For example, when Facebook acquires WhatsApp,
  control of WhatsApp remains with Facebook, but
  Facebook and WhatsApp remain separate companies.
  But when Facebook merged with WhatsApp, WhatsApp
  ceased to exist. This is because WhatsApp is
  merged into Facebook through a merger.

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• Acquisitions and mergers also differ depending on
  what stocks the shareholders of the acquired or
  merged company hold. In the case of a merger, the
  shares owned by the shareholders remain alive,
  but in the case of a merger, the shares of the
  company being merged are lost.
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• Here, the disappearance of stocks does not mean
  that all of the stocks owned by shareholders
  become trash. In the case of a merger between
  companies, the stock of the merged company is
  exchanged for the stock of the merged company
  under certain conditions.
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• For example, when Facebook merges WhatsApp, the
  merger proceeds under the condition that every
  100 shares of WhatsApp will be converted into 10
  Facebook shares. As a result, a shareholder with
  10,000 shares of WhatsApp will own 1,000 shares
  of Facebook after the merger.

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• In some cases, stocks are given in cash. It
  mainly exchanges stock for cash to those who
  oppose the merger among the shareholders of the
  merged company. This is because the shareholders
  of the merged company have the right to demand
  that their shares be exchanged for money if they
  are not satisfied with the merger.
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• How can an MA specialist from an offshore bank
  help you?
• What matters in Merger and Acquisition is the
  process, not the outcome. A successful MA by
  offshore Bank must be able to create sustainable
  value. they believe that MA should be considered
  as part of a global growth strategy from a
  clients point of view. Until a single MA is
  concluded for a customer, a repeatable MA model
  must be established by accumulating long-term
  planning to find opportunities and multiple
  Merger and Acquisition experiences. In every MA
  moment, offshore Banks MA experts provide
  valuable advice to clients

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• By clarifying the clients MA strategy and
  goal consciousness, the probability of success is
  increased, and the clients MA team is upgraded
  to support the establishment of a repeatable MA
  strategy in the future. Fact-based quantitative
  evaluation helps to guard against unreasonable
  Mas, identify hidden synergies, and conduct
  business due diligence on a completely new level
  that can predict the situation after mergers in
  advance. With our experienced experience in
  concluding multiple Mas, we support maximizing
  the value obtained through Mas by reducing
  various risks that impede synergy in advance.
  Clients collaborating with offshore banks on
  Merger and Acquisition projects succeeded in
  creating additional value by an average of 18 or
  more. Prepare for asset sale in advance and
  implement a low-risk carve-out program to help
  ensure the soundness of the surviving company. We
  support you to maximize the value of your
  projects, such as investments and partnerships.

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