squeeze-out mergers

A squeeze-out merger occurs when a company that already owns most of a company's shares, typically over 90%, forces the remaining minority shareholders to sell their shares so the entire company can be consolidated under a single owner. This process simplifies management and operations, often resulting in the minority shareholders receiving fair compensation for their shares. It is a legal procedure designed to allow majority owners to take full control of the company, usually after a merger or acquisition, ensuring the company operates as a unified entity without minority interests.