The financial results of the merger and transformation of joint stock companies on the example of Georgian companies

Joint stock companies often make very important decisions related to the change or expansion of their daily activities. An example of this is the merging of several joint stock companies or the transformation of an existing one. The paper discusses only these cases, the results of which are based on the example of Georgian companies. On 20 March of 2018 the largest transaction took place in the Georgian market, as a result of which JSC Silknet was purchased and Geocell Ltd. and as a result Geocell, as an independent company, ceased to exist. In September 2016, JSC TBC Bank purchased 93.7% of the shares of the JSC Republic Bank and actually became its owner. On March 20, 2017, the microfinance organization Credo was transformed into JSC Credo Bank on the basis of a license issued by the National Bank of Georgia.
In the first chapter of the paper are discussed the aspects of legal regulation of the telecommunications and financial sector. The second chapter provides an overview of the telecommunications and financial sector activities in Georgia, while the third chapter presents the results of the merger and transformation based on the analysis of the financial statements of specific companies, as a result of which the relevant conclusions and recommendations are developed in the final part of the paper.