The merger is a combination of two or more companies into a single company where one survives and the others lose their corporate existence. The survivor acquires the assets as well as liabilities of the merged company or companies. All assets, liabilities, and stock of one company stand transferred to transferee company in consideration of payment in the form of equity shares of transferee company or debentures or cash or a mix of the two or three modes.
Ordinarily, amalgamation means a merger. Halsbury's Laws of England describe amalgamation as a blending two or more existing undertakings into one undertaking. The shareholders of each blending company becoming substantially the shareholders in the company which is to carry on the blended undertaking.
