You are analyzing AT&T’s potential acquisition of Nike. AT&T plans to offer $150 billion as the purchase price for Nike, and it will need to issue additional debt and equity to finance such a large acquisition. You estimate that the issuance costs will be $800 million and will be paid as soon as the transaction closes.

You estimate the incremental free cash flows from the acquisition will be $6.24 billion in the first year and will grow at 3% per year thereafter. What is the NPV of the proposed acquisition?