You have been given the job of evaluating the following merger candidate. You have collected the following cash flow for the acquisition candidate for the proposed merger (in millions):

Year	1	2	3	4	5
Merger candidate cash flows (million)	$80	$85	$115	$145	$180
Additional cash flows with merger (million)	$40	$90	$145	$145	$170
Total cash flows with merger (million)	$120	$175	$260	$290	$350

Risk free rate of return: 3.0%

Beta for this project (the company after merging): 1.4

Market risk premium: 5.5%

Pre-tax cost of debt: 9.5%

Marginal tax rate: 30%

Number of shares outstanding for the target company (millions): 55

Current market price per share for the target company: $60

Percentage of the acquisition financed with debt: 60%

Percentage of the acquisition financed with common equity: 40%

After tax cost of debt: 6.65%

Cost of common equity: 10.7%

WACC: 8.27%

What is the maximum price per share you are willing to pay for this candidate?

Based on the numbers above, would you pursue this candidate?