Gerrards has a market value of 450,000,000 and 30,000,000 shares outstanding. Lotus has a market value of 150,000,000 and 15 million shares outstanding. Gerrards is deciding on whether to make a bid for Lotus. Gerrards estimates the combined firm with synergies would be worth 700,000,000. A premium of 25,000,000 is expected to buy Lotus. If Gerrards offers 14 million of its shares for the 15 million outstanding of Lotus, what percent of the firm will Lotus shareholders own? 40.00 19.31 30.00 23.73 48.28