SECTION 383

When the merger is carried out by contribution to a new private limited company, the latter may be formed without other contributionthan thatfrom the merging companies. When the demerger is realized by contribution to new private limited companies, these may be formed without other contribution than thatfrom the company being split. In suchcase, and where the equity interests of each new company are allocated to partners of the company split proportionally to their rights in the statedcapital of this company, the report referred to in article 672 hereinafteris not required. In cases referred to in the two foregoing paragraphs, members of the disappearing companies may act automatically as founders of the new companies and shall proceed in accordance with the provisions of this book. P. 115 of 267