Merger

The formal union of two or more corporations (such as hospitals) into a single corporation. In a merger, one of the original corporations retains its identity and continues to exist, while the other corporations are merged into it and lose their former identities. A consolidation is similar to a merger, except that all of the corporations which unite cease to exist, and a new corporation is formed with its own new identity. In either case, the surviving or consolidated corporation acquires the assets and assumes the liabilities of the former corporations.


 


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