Calculate 1.the market value of company including excess cash available today? 2. share price before repurchase 3.number of shares outstanding after repurchase 4.

OMI Ltd has $50 million in excess cash and no debt. The company expects to generate additional net after-tax cash flows of $40 million per year in subsequent years and will pay out these cash flows as a regular dividend for the foreseeable future. The company's unlevered cost of capital is 10% and there are 10 million shares outstanding. Its board is meeting to decide whether to pay out the $50 million in excess cash as a special dividend or to repurchase the company's shares. Assume that the board decides to use the entire $50 million in excess cash to repurchase its shares