Green Earth is a firm that specializes in cleaning environmental damage $($waste disposal$)$ and specialty chemicals. The firm has been traded for only $2$ years and gets all of its revenue in the United States. You have been asked to estimate a cost of equity for the firm and have collected the following information:

The average regression beta across waste disposal firms is $1\mathrm{.}7$ and the average market debt to equity ratio for these firms is $30\%$; the average regression beta for chemical firms is $1\mathrm{.}35$ and the average market debt to equity ratio is $45\%.$ The corporate tax rate is $40\%.$

Green Earth$$ book value of equity is $$500$ million, while the market value of equity is $$1,900$ million. The book $($and market$)$ value of debt is $$700$ million.

Assume that Green Earth decides to borrow an additional $$1,000$ million in order to expand its environmental clean up business. What is the value of the environmental clean up business following this action.