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ABSTRACT:
In the lifespan of a typical business, companies often start their journey as single entities, focusing on just one primary activity of manufacturing or dealing in a single product or service. As they grow gradually over time, they keep diversifying into additional ventures and activities that are needed by the nation. They start the long journey all alone through small units managed within the existing corporate structure to minimise the administrative costs and complexity involved. However, as the businesses expand, they end up reaching a point where their operations, financial performance, and market conditions make it essential and beneficial, from a tax and growth perspective, for its stakeholders to demerge or disintegrate into separate legal structures. This is achieved through financial restructuring exercises and corporate actions such as divestitures, spin-offs, hive-offs, or equity carve-outs, also known in common jargon as a ‘demerger’
"CASE ON DEMERGER- A Financial tool for value creation", International Journal for Research Trends and Innovation (www.ijrti.org), ISSN:2455-2631, Vol.9, Issue 12, page no.a575-a580, December-2024, Available :http://www.ijrti.org/papers/IJRTI2412062.pdf
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ISSN:
2456-3315 | IMPACT FACTOR: 8.14 Calculated By Google Scholar| ESTD YEAR: 2016
An International Scholarly Open Access Journal, Peer-Reviewed, Refereed Journal Impact Factor 8.14 Calculate by Google Scholar and Semantic Scholar | AI-Powered Research Tool, Multidisciplinary, Monthly, Multilanguage Journal Indexing in All Major Database & Metadata, Citation Generator