The Companies (Compromises, Arrangements andAmalgamations) Amendment Rules, 2021

MINISTRY OF CORPORATE AFFAIRS
NOTIFICATION
New Delhi, the 1st February, 2021

G.S.R. 93(E).—In exercise of the powers conferred by sub-sections (1) and (2) of section 469 read with
sections 230 to 233 and sections 235 to 240 of the Companies Act, 2013 (18 of 2013), the Central Government hereby
makes the following rules further to amend the Companies (Compromises, Arrangements and Amalgamations) Rules,
2016 namely :-
1. Short title and commencement.‐ (1) These rules may be called the Companies (Compromises, Arrangements and
Amalgamations) Amendment Rules, 2021.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Companies (Compromises, Arrangements and Amalgamations) Rules, 2016, in rule 25, after sub-rule (1) the
following sub-rule shall be inserted, namely:-
“(1A) A scheme of merger or amalgamation under section 233 of the Act may be entered into between any of
the following class of companies, namely:-
(i) two or more start-up companies; or
(ii) one or more start-up company with one or more small company.
Explanation.- For the purposes of this sub-rule, “start-up company” means a private company incorporated under the
Companies Act, 2013 or Companies Act, 1956 and recognised as such in accordance with notification number
G.S.R. 127 (E), dated the 19th February, 2019 issued by the Department for Promotion of Industry and Internal Trade.”

[F. No. 2/31/CAA/2013-CL.V]
K. V. R. MURTY, Jt. Secy