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AcquirerCo agreed to buy TargetCo with a mix of cash and AcquirerCo stock. TargetCo stockholders will receive $ 5 . 0 0 in cash for

AcquirerCo agreed to buy TargetCo with a mix of cash and AcquirerCo stock. TargetCo stockholders will receive $5.00 in cash for each TargetCo share. In addition, 1 shares of AcquirerCo stock will be given to TargetCo for every 5 shares of TargetCo stock. AcquirerCo's share price closed at $20.00 a day prior to the announcement. Given 100 million shares outstanding of TargetCo, What is the offer value(purchase price) for TargetCo ?(10 Points)
Question 1 options:
A)
$1,000 mil.
B)
$750 mil.
C)
$575 mil.
D)
$500 mil.
E)
$900 mil.

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