Calculate the post-merger EPS and market value of equity, assuming no synergies arise in the following acquisition
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BidderTarget $25,000 $7,000 Number of common shares outstanding 8,000 3,500 $3.13 $2.00 $29.50 $12.00 9 times6 times $236,000 $42,000 Total earnings EPS Market price per share (Po) P/E ratio Total market value of equity
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Total Earnings 25000 7000 32000 Total Shares outstanding 8000 ie th...View the full answer
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Related Book For
Introduction To Corporate Finance
ISBN: 9781118300763
3rd Edition
Authors: Laurence Booth, Sean Cleary
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