CJ ML
Reorganization, in the corporate context, refers to the initiation of a plan to restructure a corporation. such restructuring may involve one company being merged with another.
The process of carrying out, through agreements and legal proceedings, a business plan for winding up the affairs of, or foreclosing a mortgage upon, the property of a corporation that has become insolvent.
Reorganization is ordinarily accomplished by way of a Judicial Sale of the property of the corporation. The purchasers then often form a new corporation to which substantially all assets of the old are transferred.