Legal Definitions - mergee

A mergee refers to a company that is participating in a corporate merger, specifically the entity that is being acquired by or combined with another organization.

Here are some examples to illustrate this concept:

• Example 1: Tech Startup Acquisition
  Imagine "CodeCrafters," a small but innovative software development startup, agrees to be acquired by "GlobalTech Solutions," a much larger and established technology conglomerate. In this scenario, CodeCrafters is the mergee because it is the company being absorbed into GlobalTech Solutions as part of the merger agreement.

• Example 2: Regional Bank Consolidation
  Consider "Community Savings Bank," a regional financial institution, which enters into an agreement to be purchased by "National Financial Group," a nationwide banking giant looking to expand its presence. Community Savings Bank is the mergee because it is the entity whose operations, assets, and customer base are being integrated into National Financial Group through the merger.

• Example 3: Pharmaceutical Company Merger
  Suppose "BioHealth Innovations," a mid-sized pharmaceutical company specializing in new drug research, is acquired by "PharmaGiant Corp.," a global leader in drug manufacturing and distribution. BioHealth Innovations acts as the mergee in this transaction, as it is the company that is being taken over and integrated into the larger corporate structure of PharmaGiant Corp.