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West Haven Tool and Dye is about to go public. It generates $100 million in annual free cash flow. The investment bankers have determined that
West Haven Tool and Dye is about to go public. It generates $100 million in annual free cash flow. The investment bankers have determined that the correct corporate valuation multiple is four (4) times. The company has $75 million of total debt outstanding and $25 million of preferred stock. West Haven Tool and Dye also has 30 million COMMON shares outstanding. Based on these data, what is the expected intrinsic value of ONE SHARE of COMMON stock
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