3 May, 2018
Section 234 of the Companies Act, 2013 (Companies Act) and Rule 25A of the Companies (Compromises, Arrangements and Amalgamations) Rules, 2016 (Companies Merger Rules) permit mergers and amalgamations between Indian companies and companies incorporated in certain jurisdictions. These provisions mandate prior approval of the Reserve Bank of India (RBI) for any such cross-border mergers.
After extensive public consultations, the RBI issued the Foreign Exchange Management (Cross Border Merger) Regulations, 2018 (FEMA Regulations) on 20 March 2018 to address various issues that may arise in relation to cross border mergers from an exchange control perspective.
Read full article here.
Contributed by Khaitan & Co. By Atul Pandey, Associate Partner ; Abhishek Sanyal, Principal Associate ; Indruj Rai, Principal Associate ; Hirak Mukhopadhyay, Associate
Stephen Mok, Partner, Eversheds
stephenmok@eversheds-sutherland.com
