What happens to a corporation's PPSA registrations when it amalgamates with another corporation?

When two corporations amalgamate under the Business Corporations Act, the amalgamated corporation continues as a single entity carrying forward the rights, assets, and liabilities of both predecessor corporations, rather than one predecessor simply disappearing and its obligations vanishing. Existing PPSA registrations made against a predecessor corporation generally continue to be effective after the amalgamation, since the underlying debt and security relationship carries forward into the amalgamated entity.

That said, because the debtor's legal name and identity effectively change through the amalgamation, a registration still showing the old predecessor's name can become seriously misleading to someone searching under the amalgamated corporation's new name. For that reason, a secured party typically still needs to file a financing change statement updating the registration to reflect the amalgamated corporation, to keep the registration fully effective and easy to find under a search of the new entity. Both lenders with existing security against a predecessor corporation and anyone considering lending to, or buying assets from, a corporation that has recently amalgamated should specifically check whether registrations have been properly updated to reflect the new corporate name.