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Suppose ABC Corporation's free cash flow during the just-ended year (t = 0) was $83.4 million, and FCF is expected to grow at a constant
Suppose ABC Corporation's free cash flow during the just-ended year (t = 0) was $83.4 million, and FCF is expected to grow at a constant rate of 2% in the future. If the weighted average cost of capital is 18% and the firm has 120 million debt, what is the firm's equity value, in millions? ABC Corporation is acquiring DEF Corp for 245.5 million in an all stock deal. After the merger, the shareholders of ABC will hold 70% of the combined company, while the shareholders of DEF will hold 30% of the combined company. What is the current market capitalization of ABC
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