PlayStar Corp. (fka PLYCF)

[Sol]

In a merger, the parties negotiate over how relative value will translate into the amount of ownership each party will have in the new company. However, in an acquisition, the parties negotiate over how the relative value contributed to the new enterprise will translate into the purchase price.

Although a merger involves a combination of two or more entities, they are rarely equal participants. Sometimes a merger is really an acquisition financed by common stock. Mergers are typically more expensive than acquisitions, with the parties incurring higher legal costs,