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EBIT of $50M in 2018, funded by VC equity. It is looking to optimize its capital structure by adding $30M debt to fuel growth. Interest

EBIT of $50M in 2018, funded by VC equity. It is looking to optimize its capital structure by adding $30M debt to fuel growth. Interest expense was going to be $3M and tax rate is 30%. What is the incremental value created for stakeholders in Year 1 (if any) by taking on this debt?

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