A Short-Form Merger

question 16

Multiple Choice

A short-form merger:

• A) is not a merger at all but a form of consolidation.
• B) may be undertaken without director approval.
• C) allows no appraisal rights for the parent's minority shareholders.
• D) requires shareholder approval.

---

Definitions:

Commercial Entities

Organizations engaged in commercial activities, aiming to generate profits from their operations.

Pre-money Valuation

The valuation of a company immediately before it goes through a round of financing or receives external funding.

Post-money Valuation

The estimated value of a company after external financing and injections of equity have been added to its balance sheet.

Angel

A wealthy person who funds a new business, typically in return for convertible debt or a share in the company's equity.