Even a friendly merger of equals or the acquisition of one company by another can be a complex business transaction. Colorado residents may be particularly interested in a recently proposed merger between two suppliers of two of the world's largest electronics companies -- Samsung and Apple.
Mergers and acquisitions -- also known as M&A -- are essential to economic progress in a capitalist society. Generally, the term "mergers and acquisitions" refers to the consolidation of companies either through the combination of two separate entities to form a new, single company or the purchase of one company by another company in order to incorporate it into an existing entity. M&A activity is often viewed as a sign of economic health.