merger

[mur-jer]

noun

1. a statutory combination of two or more corporations by the transfer of the properties to one surviving corporation.

2. any combination of two or more business enterprises into a single enterprise.

3. an act or instance of merging.

   Astronomers say that the merger of galaxies can take a billion years.

4. Phonetics.,  the process or phenomenon whereby two distinct speech sounds come to be pronounced identically: for instance, the cot–caught vowel merger has taken place in some dialects of English.

merger

/ ˈmɜːdʒə /

noun

1. Often called (Brit): amalgamation. commerce the combination of two or more companies, either by the creation of a new organization or by absorption by one of the others

2. law the extinguishment of an estate, interest, contract, right, offence, etc, by its absorption into a greater one

3. the act of merging or the state of being merged

merger

1. The union of two or more independent corporations under a single ownership. Also known as takeovers, mergers may be friendly or hostile. In the latter case, the buying company, having met with resistance from directors of the targeted company, usually offers an inflated (overmarket) price to persuade stockholders of the targeted company to sell their shares to it. Such mergers often have been financed by junk bonds.

Especially common in the 1980s, hostile takeovers have become highly controversial. Some contend that they bring needed infusions of capital and efficiency to the targeted company. Others argue that, having borrowed heavily to finance the merger, the buyer is forced to sell valuable assets of the targeted company to pay off its debt.

Other Word Forms

• antimerger adjective
• demerger noun
• premerger adjective
• promerger adjective

Word History and Origins

Origin of merger¹

First recorded in 1720–30; merge + -er ¹

Example Sentences

While 1st Amendment experts said CBS News had done nothing wrong, parent company Paramount settled the case for $16 million to help clear the regulatory hurdles for its merger with Skydance Media.

From Los Angeles Times

Kroger, the parent company of Ralphs and Food 4 Less, will lay off nearly a thousand corporate employees following a failed merger and store closures.

From Los Angeles Times

Any future plan would need the backing of the current owners, but it's understood ministers have told the sector they believe a merger is the best way to be sustainable in the long-term.

From BBC

It’s the latest blow for the grocer that operates more than 300 stores in California and is recovering from a failed merger with Albertsons last year.

From Los Angeles Times

Colbert also called the merger “a big fat bribe” on July 14, just four days before the cancellation was announced.

From Salon

Related Words

• combination 
• takeover 
• tie up 
• unification 
• union