"Documentation is an important aspect in fulfilment of legal requirements and obligations in merger and amalgamation for an effective and successful venture." Analyse the statement indicating the important steps to be in

Documentation is an important aspect in fulfillment of legal requirements and obligations in merger and amalgamation for an effective and successful venture. The quantum of such obligations will depend upon the size of company, debt structure and profile of its creditors, compliances under the corporate laws, controlling regulations, etc. In all or in some of these cases legal documentation would be involved. If foreign collaborators are involved, their existing agreements would need a mandatory documentation to protect their interests if their terms and conditions so require. Secured debenture holders and unsecured creditors would also seek legal protection to their rights with new or changed management of the amalgamating company. Regulatory bodies like the RBI, Stock Exchanges, SEBI, etc. would also ensure adherence to their respective guidelines, regulations or directives. In this way, while drafting the scheme of merger and amalgamation the transferor and transferee would have to ensure that they meet legal obligations in all related and requisite areas. Stages Involved in Mergers or Amalgamation In brief, it can be said that there are broadly eight stages involved in merger and amalgamation, which are listed below: Stage 1- Drafting of the Scheme. Stage 2 - Obtaining the approval of the Board of Directors of the companies involved. Stage 3 - Obtaining approval of the stock exchanges in case of listed companies. Stage 4 - Application / Petition for convening the meeting of members/creditors shall be filed with National Company Law Tribunal. Stage 5 - Convening meetings of the Shareholders and Creditors and obtaining their consent on. Stage 6-Scheme Approvals or No objection from Regional Director / Official Liquidator. Stage 7- Filing of final petition with NCLT for approving the Scheme. Stage 8 - Obtaining order for approval for scheme of merger/amalgamation from the National Company Law Tribunal.