Pricing Stock Issues in an IPO

Zang Industries has hired the investment banking firm of Eric, Schwartz, & Mann $($ESM$)$ to help it go public. Zang and ESM agree that Zang's current

value of equity is $$55$ million. Zang currently has $5$ million shares outstanding and will issue $1\mathrm{.}6$ million new shares. ESM charges a $5\%$ spread.

What is the correctly valued offer price? Do not round intermediate calculations. Round your answer to the nearest cent.

$

How much cash will Zang raise net of the spread $($use the rounded offer price$)?$ Write out your answer completely. For example, $5$ million should be

entered as $5,000,000.$ Round your answer to the nearest dollar.

$