Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Void Softwares is planning to acquire Nemodream. Void Softwares has 10 million shares outstanding, with a share price of $16.1 and earnings per share of
Void Softwares is planning to acquire Nemodream. Void Softwares has 10 million shares outstanding, with a share price of $16.1 and earnings per share of $1.3. Nemodream has 3 million shares outstanding, with a share price of $14.1 and earnings per share of $1.6. Void Softwares will issue new shares so that it can pay a share price of $16 to buy Nemodream. Suppose there is no synergy in this transaction. Void Softwares' earnings per share after the takeover will be closest to: (4 marks) Select one: O a. 1.415 b. 1.371 O c. 1.460 O d. 1.410
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started