Merger Transaction Law and Legal Definition

According to 12 CFR 229.2 [Title 12 -- Banks And Banking; Chapter Ii -- Federal Reserve System; Subchapter A -- Board Of Governors Of The Federal Reserve System; Part 229 -- Availability Of Funds And Collection Of Checks (Regulation Cc); Subpart A – General] merger transaction means –

“(1) A merger or consolidation of two or more banks; or

(2) The transfer of substantially all of the assets of one or more banks or branches to another bank in consideration of the assumption by the acquiring bank of substantially all of the liabilities of the transferring banks, including the deposit liabilities.”