Glossary
/Demerger
What is a Demerger?
It’s the exact opposite of a merger. The company bosses decide to split one large business into smaller, completely independent pieces. Why do it? Sometimes, a highly profitable division gets buried within a massive parent company, so the company spins it off to unlock its true value. As an existing shareholder, you don't have to pay a single rupee. You usually wake up one day and find free shares of the newly separated company sitting directly in your demat account.
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