Question
Bidder has 450 million shares on issue and is trading at $7. Target has 150 million shares on issue. Bidder makes a mixed offer of
Bidder has 450 million shares on issue and is trading at $7. Target has 150 million shares on issue. Bidder makes a mixed offer of $2 plus 0.4 for 1 (Target share) for Target. Assuming Bidder obtains 100% of Target, how many shares will the merged entity have on issue?
a)553 million
b)525 million
c)630 million
d)210 million
e)510 million
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International Financial Reporting and Analysis
Authors: David Alexander, Anne Britton, Ann Jorissen
5th edition
978-1408032282, 1408032287, 978-1408075012
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