What does business combination mean?

Legal analysis: Enterprise merger refers to a form of enterprise property right transaction in which an enterprise obtains its shares in cash and exchanges them with those of other enterprises, so as to obtain all the assets and control rights of the latter, so as to expand the scale and business scope of the enterprise.

Legal basis: Article 173 of the Company Law of People's Republic of China (PRC), the merger of companies can 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.