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ABC company currently has cash of $5 billion. The company is planning to repurchase its shares from investors using this cash. The company has already

ABC company currently has cash of $5 billion. The company is planning to repurchase its shares from investors using this cash. The company has already made an official announcement about the repurchase of stocks. Currently, the company is an unlevered firm. It has shares outstanding of 1.25 billion which are currently trading at the price of $20 in the market. Assuming the perfect capital market, calculate ABCs market value of equity after the share repurchase.

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