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Your firm is buying SmallCo. If you purchase SmallCo, you will be able to invest in a project with an upfront cost of $21 million,

Your firm is buying SmallCo. If you purchase SmallCo, you will be able to invest in a project with an upfront cost of $21 million, which pays out $2 million after taxes per year for 6 years. Both your firm and SmallCo are all equity, and your unlevered cost of equity will be 0.14 after the merger. If you have to offer SmallCo's shareholders a $9 million premium to get them to accept the deal, what is the NPV of this merger?

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