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3. Before the acquisition of AFB, the market value of MBSB and AFB were RM250 million and RM15 million respectively. The offer from MBSB to

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3. Before the acquisition of AFB, the market value of MBSB and AFB were RM250 million and RM15 million respectively. The offer from MBSB to AFB was at cost of RM17.2 million which above the market value and number of share outstanding for MBSB and AFB were 25 million and 34 million respectively. Based on the information given, calculate: (a) Number of shares to be exchange for the acquisition. (4 marks) (b) Share price of merged firm (4 marks) (c) The synergy value created by this merger. (2 marks)

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