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Question 6 a) Suppose an M&A advisor believes that any premium over current market pricing paid for a particular target would be over-priced. Is

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Question 6 a) Suppose an M&A advisor believes that any premium over current market pricing paid for a particular target would be over-priced. Is there a scenario where a target company appears overvalued might still be worth purchasing? Discuss. [5 marks] b) Briefly discuss the market circumstances where an Acquiring company is likely to prefer to finance a proposed acquisition entirely share-for-share instead of all cash. [5 marks]

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