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Firm X has made an offer to acquire Firm Y for $1,750 million. At the time of the offer, Firm X had a market capitalization
Firm X has made an offer to acquire Firm Y for $1,750 million. At the time of the offer, Firm X had a market capitalization of$2,400 million, with 48 million shares outstanding, and Firm Y had a market capitalization of $1,600 million, with 28 million shares outstanding.Let's assume that Firm X is anticipating synergies worth $500 million from the deal.If a cash offer was made, what was the anticipated shareholder value added for the acquirer?Round your answer to the nearest million.
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