Amalgamation process for Co-operative
Societies and Friendly Societies are similar
and are guided by Section 53 and
Section 47 of the Acts respectively.
These provisions allow for two (2) main
types of Amalgamation – mergers and transfer
– occurs whereby any two or more Societies
combine, without dissolution or division, to
become a new Society (the Amalgamated
Society). All the funds and property of the
Societies engaged in the process become
vested in the new Society. All members of
the merging Societies also automatically
remain members of the Amalgamated Society.
In the process, the merging societies would
cease to exist as legal entities. The new
Society formed by the process will acquire a
new name, new registration, new Rules, new
Board of Directors and the other necessary
(ii) Transfer of Engagements – occurs
whereby a Society (Transferor) transfers all
of its engagements and members to another
Society (Transferee), which may undertake to
fulfil the engagements of the Transferor.
The Society that would be transferred would
cease to exist and the Society that would
have accepted the engagements would continue
in its own name and as a legal entity.