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A company proposes to separate one of its existing business activities with bankruptcy remoteness and grow it

Accounting Nov 20, 2020

A company proposes to separate one of its existing business activities with bankruptcy remoteness and grow it. This can be achieved through:

(a) Sale of business to a newly formed 100% subsidiary

(b) Hive-off of the business to another existing company

(c) Demerger into another existing company

(d) Demerger into a new company

(e) Converting the existing company into a joint venture

(f) Bringing in a strategic investor.

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