Accountancy, asked by boardofdd11, 11 days ago

ABC Ltd. Acquired substantial number of equity shares in XYZ Ltd. It is called as

Answers

Answered by vmwarelpu

1

Answer:

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Answered by AnusritaS98

1

Answer:

Acquired substantial number of Equity shares in called Take over.

Explanation:

Substantial Acquisition means acquisition by borrowing or purchasing of any Equity interest which includes mergers or any consolidation. In simpler words, when a person or any legal entitity aquires something by legal means. It is also can be termed as take over. Like in the above mentioned question, company ABC Ltd acquired substantial number of equity shares in XYZ Ltd, so it can safely be stated that the ABC Ltd can now control the the company XYZ Ltd as they tookover the company by buying substantial amount of equity shares of the company.

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