"In any merger or amalgamation taking care of financial aspects is of prime importance." Highlight at least five financial aspects that you would consider important whether it is a case of amalgamation or merger.

While formulating scheme of arrangement for either amalgamation or merger, financial aspects are of prime importance. Aspects that yield benefits such as increase in productivity, improved profitability, and enhanced dividend paying capacity to the resulting company and aimed at : (a) Pool the resources to achieve economies of production, administrative, financial and marketing management. (b) Secure the required credit on terms from financial institutions, banks, suppliers, job workers etc. (c) Reducing cost of production, management, marketing having the combined strength of qualified and competent technical and other personnel. (d) Research and development activities for product development to ensure a long-lasting, dominant and profit making position in the industry. (e) Improving productivity and profitability in order to maintain a regular and steady dividend. (f) Concentrate on the core competence of the merged or the amalgamated company. (g) Consolidate resource base to improve generation, mobilisation and utilisation of physical, financial, human, knowledge, information and other important tangible and intangible resources.