Question
GG Enterprises has agreed to be acquired by Layman Products in exchange for 30,000 worth of Layman Products equity. Layman Products has 4,000 shares of
GG Enterprises has agreed to be acquired by Layman Products in exchange for 30,000 worth of Layman Products equity. Layman Products has 4,000 shares of equity outstanding at a price of 20 a share. GG Enterprises has 800 shares outstanding with a market value of 30 a share. The incremental value of the acquisition is 8,400. What is the value of Layman Products after the acquisition?
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Contemporary Issues In Quantitative Finance
Authors: Ahmet Can Inci
1st Edition
1032101121, 978-1032101125
