The Central Government on 9th September, 2024 has issued the Companies (Compromises, Arrangements and Amalgamations) Amendment Rules, 2024. They shall come into force from the 17th day of September, 2024.
The amendment provides that where the transferor foreign company incorporated outside India being a holding company and the transferee Indian company being a wholly owned subsidiary company incorporated in India, enter into merger or amalgamation, both the companies shall obtain the prior approval of the Reserve Bank of India and application shall be made by the transferee Indian company to the Central Government along with a declaration.
