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Suppose XYZ Corporation has a market capitalization of $2.0 billion and 30 million shares outstanding. The company intends to distribute $150 million through an open

Suppose XYZ Corporation has a market capitalization of $2.0 billion and 30 million shares outstanding. The company intends to distribute $150 million through an open market repurchase. Assuming perfect capital markets:

i. What will the price per share of XYZ Corporation be right before the repurchase?

ii. How many shares will be repurchased?

iii. What will the price per share of XYZ Corporation be right after the repurchase? a) i. 66,67; ii. 2,25; and iii. 66.67 b) i. 64,00; ii. 2,20; and iii. 66.67 c) i. 64,00; ii. 1.88; and iii. 64,00 d) i. 50,00; ii. 2,25; and iii. 65,00

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