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What does reverse absorption merger mean?
General absorption merger refers to the parent company's absorption and merger of subsidiaries, while reverse absorption merger refers to the parent company's acquisition by subsidiaries. Then the loans and equity of private equity funds to the parent company will sink to the subsidiary level, which will become the share of private equity funds holding special plans. Private equity funds hold 0/00% equity of subsidiaries, and private equity funds also have loan claims to subsidiaries.