congeneric (adjective, con-ge-ner-ic, \ kənˈdʒəˈnerɪk \) merger (noun, merg-er, \ ˈmɜːrdʒər \)
Definition: is a merger that occurs between two companies that operate within the same or closely tied industries but don’t have an established mutual buyer-seller connection that would exist during a merger of a bank and a leasing firm. Companies that complete such a merger tend to share distribution channels, making the resulting entity able to keep providing its products or services to the existing clients without noticeable disruptions. Other types of mergers include horizontal, vertical, and conglomerate.
In a Sentence:
- Our acquisition of Sincerely-Yours was counted as a congeneric merger because even though our two firms operate in the travel services industry, we offer different kinds of services.
- I think that a congeneric merger with A-Spera will be a godsend. They have superior products, and we can offer better distribution channels.
Synonyms and related words: cash-out merger, conglomerate merger, cash merger, merger
