Legal basis: People's Republic of China (PRC) Company Law.
Article 175 When a company is divided, its property shall be divided accordingly. When the company is divided, it shall prepare a balance sheet and a list of assets. The company shall notify the creditors within 10 days from the date of making the resolution of separation, and make an announcement in the newspaper within 30 days.
Article 176 The debts of the company before division shall be jointly and severally liable by the company after division. However, unless the company and creditors reach a written agreement on debt settlement before division.
Article 172 The merger of companies may take the form of absorption merger or new merger. A company absorbs other companies for merger, and the absorbed company is dissolved. The merger of two or more companies to form a new company is a new merger, and the parties to the merger are dissolved.
Regulations of the People's Republic of China on the Administration of Company Registration
Article 30 Where a company changes its legal representative, it shall apply for registration of change within 30 days from the date when the resolution or decision on change is made.
Article 27 A company applying for registration of change shall submit the following documents to the company registration authority: (1) An application for registration of change signed by the legal representative of the company; (2) resolutions or decisions on changes made in accordance with the Company Law. (3) Other documents required by the State Administration for Industry and Commerce. Where the company's change of registration matters involves the revision of the articles of association, it shall submit the revised articles of association or amendments to the articles of association signed by the company's legal representative. Where laws, administrative regulations or decisions of the State Council require approval to change registered items, relevant approval documents shall also be submitted to the company registration authority.