Kapingizgoli Limited is a company in the sportswear market. The average return in the sportswear market hovers around 18%. The average return on treasury bills is 7%. The annual returns of shares in Kapingizgoli Ltd have a standard deviation of 3.58% while the standard deviation of market returns is 2.72%. The correlation coefficient for returns on shares in Kapingizgoli and returns for the market as a whole is +0.85. Kapingizgoli Ltd has recently paid a dividend of K0.40 per share. The policy of the company has been to maintain a growth in dividends of 5% per annum. The company is considering issuing ordinary shares to raise K20,510,000 to invest in a new factory.

Required

Suggest the number of shares the company must issue in order to raise the required amount of funds.