Gamma Ltd $("$Gamma$")$ and Extreme Ltd $("$Extreme$")$ are both entities in the retail clothing sector. Gamma has recently announced a takeover bid for Extreme. According to the bid, two Gamma shares will be offered for every five Extreme shares. Following are the most recent annual financial figures of the two entities:Gamma $($R$)$Extreme $($R$)$Taxation allowable deprecationEarnings before interest and taxationEarnings before taxationAnnual capital investment expenditure

Expected annual growth

rate in sales, operating

expenses $($including

depreciation$),$ capital

investments and

dividends for the next $3$

years.

Expected annual growth

rate in sales, operating

expenses $($including

depreciation$),$ capital

investments and

dividends after the next $3$

years.

Additional information:

The market premium in the retail clothing sector is $3\mathrm{.}8\%.$

The South African $10-$year bonds offer a return of $9\mathrm{.}4\%.$

The EBIT Margin will remain constant for all years.

Gamma will take over responsibility of the debt obligations of Extreme.

The South African Income Tax rate applicable to companies, is $27\%.$

The takeover is expected to result in savings in distribution and storage costs,

and consequently reduce Gamma's operating expenses $($including

depreciation$)$ to $46\%$ of revenue. The operating expenses of Extreme are also The operating expenses of Extreme are also expected to be $46\%$ of revenue after the merge. The growth rate of the combined entity is expected to be $7\mathrm{.}5\%$ per year for three years and stabilize at $3\mathrm{.}5\%$ per year thereafter. $$ It may be assumed that revenue and costs relevant to the decision are in cash terms

$1.$Perform a free cash flow valuation and determine the current value of each Gamma Ltd ordinary share. Round to two $(2)$ decimal places if applicable.