Question
Firm B has estimated that the value of the synergistic benefits from acquiring Firm T is $2,500. What is the NPV of the merger assuming
Firm B has estimated that the value of the synergistic benefits from acquiring Firm T is $2,500. What is the NPV of the merger assuming that Firm T is willing to be acquired for $28 per share in cash?
firm B shares outstanding $1,700.00 market price 32
firm T shares outstanding $1,200.00 market price 26
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Fundamentals Of Corporate Finance
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
5th Edition
1119795435, 978-1119795438
