Create industry EBITDA and EBIT multiples. Then find the expected value of BMP using these multiples, where BMP has: net income of $24,488,481, tax rate of 24%, interest on debt of $1,510,000, cost of debt of 7.27%, depreciation and amortization of $16,440,000, 4,622,000 shares outstanding, current stock price of $77.96 and getting a 31% premium. Using allinformation, (i) evaluate BMP versus its industry peers and (ii) assess whether this is a good deal and explain why or why not

RAE

Net Income 15,075,000

Taxes 7,129,478

EBT 22,204,478

Interest 774,888

Depreciation/Amortization 7,662,500

EBITDA 30,641,866

Equity Acquisition Price 288,040,000

Interest Bearing Debt 9,960,000

LOI

20,300,000

8,700,000

29,000,000

3,641,472

7,840,000

40,481,472

312,000,000

50,320,000

CNT

14,088,785

5,478,972

19,567,757

573,991

3,831,250

23,972,998

221,569,231

6,252,626