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A company is projected to generate free cash flows of $ 1 6 9 million next year and $ 1 9 7 million at the

A company is projected to generate free cash flows of $169 million next year and $197 million at the end of year 2, after which it is projected grow at a steady rate in perpetuity. The company's cost of capital is 11.9%. It has $136 million worth of debt and $66 million of cash. There are 24 million shares outstanding. If the terminal EV/FCFF exit multiple at the end of year 2 is 6.6, what's your estimate of the company's share value? Round to one decimal place.
HINT: Compute TV2 using the exit multiple approach as FCFF2 times comparables' multiple. The rest is the same as the DCF method: Discount FCFF1, FCFF2 and TV2 back to the present using WACC, then walk the bridge to the share value.

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