Document background
The Simple Merger Agreement is a crucial document used in Nigerian corporate transactions where two companies intend to combine their operations and assets into a single entity. This document type is particularly relevant when the merger structure is relatively straightforward and doesn't involve complex international elements or multiple jurisdictional requirements. The agreement must comply with Nigerian legislation, particularly the Companies and Allied Matters Act 2020, the Investment and Securities Act, and the Federal Competition and Consumer Protection Act. It typically includes essential provisions regarding asset transfer, share exchange or consideration, employee treatment, and regulatory compliance, while being simpler and more straightforward than agreements used in more complex mergers. The Simple Merger Agreement is commonly used in domestic Nigerian mergers, particularly for private companies or where the transaction structure is uncomplicated, though it still requires careful attention to local regulatory requirements and corporate governance standards.
