(25 Marks) octors of Bonn (Ltd) have appointed you as a merger and acquisition specialist They are considering the sition of Boxer (Ltd) You are to advise them whether or not to proceed with the project The following information is available Bonn (Ltd) Boxer (Ltd) Market price per share R20.00 R16.00 Eamings per share R6.00 R4.80 No. of shares issued 4 million 1 million Cash payment to Boxer Ltd R24 million. Synergy benefits of R20 million will accrue through the acquisition. Boxer Ltd have just had their assets re-valued and the valuation has appreciated quite significantly. Required: Assume the acquisition is based on market values with a cash payment (5 marks) 4.1 Discuss the possible tax gains froma merger and acquisition (2 marks) 4.2 Calculate the combined value of the proposed acquisition (2 marks) Calculate the net present value of the proposal 4.3 (2 marks) Calculate the acquisition premium 4.4 (3 marks) 4.5 Calculate the post-acquisition market price of the share (2 marks) 4.6 Calculate the post-acquisition increase/decrease price of the share Assume the acquisition is based on eamings per share: 4.7 Calculate the exchange ratio based on earnings per share (3 marks) Calculate the total number of shares in the proposed acquisition Calculate the post-acquisition eamings per share 4.8 (2 marks) 4.9 (4 marks)