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You are evaluating the acquisition of a firm in your industry. You estimate that the company is worth $519,270 by itself and that synergies
You are evaluating the acquisition of a firm in your industry. You estimate that the company is worth $519,270 by itself and that synergies have a present value of $193,124. Your company plans to offer $5.46 per share to the target company shareholders and there are 99,983 shares outstanding. If the cost of equity is 6%, what is the offer premium? $26,637 $31,589 $30,723 $21,701
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Equity Asset Valuation
Authors: Jerald E. Pinto, Elaine Henry, Thomas R. Robinson, John D. Stowe, Abby Cohen
2nd Edition
470571439, 470571438, 9781118364123 , 978-0470571439
