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4) Estimate the beta of the combined entity (Pampa + CCC) after the merger. Based on your answer, will the merged firm's cost of capital
4) Estimate the beta of the combined entity (Pampa + CCC) after the merger. Based on your answer, will the merged firm's cost of capital to be higher or lower than Pampa's current cost of capital? Explain your answer. Hint: Firm beta is a value-weighted average of individual betas.
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