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Acquirer firm plans to launch a takeover of Target firm. The deal is expected to create a present value of synergies totalling $200 million. Firms

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Acquirer firm plans to launch a takeover of Target firm. The deal is expected to create a present value of synergies totalling $200 million.

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Firms Involved in the Takeover Assets ($m) Debt ($m) Share price ($) Acquirer Target 6000 800 2000 300 50 25 80 20 Number of shares (m)

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