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What is the type of this combination? * Horizontal Vertical Conglomerate Cross-boarder merger None of the above 7. What is the gain from this acquisition?

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What is the type of this combination? *

Horizontal

Vertical

Conglomerate

Cross-boarder merger

None of the above

7. What is the gain from this acquisition? *

$2.250 Billion

$27 Million

$990 Million

$16.829 Billion

None of the above

8. How much cash money was paid by T-com to Beta Co.? *

$4.629 Billion

$4.329 Billion

$6.271 Billion

$6.125 Billion

None of the above

9. If T-com had paid $50 in cash for every share of Beta Co., how many shares had Beta Co., before the acquisition? *

86.58 Million shares

99.74 Million shares

125.42 Million shares

122.50 Million shares

None of the above

10. What is the Net Present Value (NPV) of this acquisition? *

$4.021 Billion

$1.279 Billion

$2.079 Billion

$10.558 Billion

None of the above

None of the above Given the following case, answer questions 6 to 10 below: T-com is an industrial conglomerate that work in numerous sectors, including, steel products and trading to mechanical and electrical engineering, automotive and telecommunications. In 2018, it has acquired Beta Co., a multinational telecommunication company. The acquisition costed $971 Million and it was made for cash. It has resulted in $270 Million cost reduction per year. Assume that the values of both T-com and Beta Co. before acquisition were $12.5 Billion and $5.3 Billion respectively and that the opportunity cost of capital is 12%. Me

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