Msunduzi Analytics is evaluating Naspers Inc using the FCFE valuation method. They have collected the followinginformation:

Naspers has a net income of 250 million, depreciation of 90 million, capital expenditures of170 million and an increase in working capital of 40 million.

Naspers has financed 40% of the capital expenditure and 40% of the increase in working capital with debt financing.

Interest expenses are currently 150 million, whilst the current market value of Naspers's debt is 1 800million.

The FCFE is expected to grow at a 20% rate for the next 2 years, thereafter, over the subsequent 3 years; its growth should decline linearly, ultimately reaching a stable growth rate of5%.

The tax rate is 30%.

Naspers is financed with 40% debt and 60% equity. The before-tax cost of debt is 9%, and the cost of equity is 13%.

Naspers has 10 million outstanding shares.

Required:

Carry2 decimal placesfor all yourworkingsand final answer

Thecurrent Free Cash Flow to the firm(FCFF) isequal to R.

The increase in net debt is equal to R

Thecurrent Free Cash Flow to Equity(FCFE) is equal to R

TheFCFEin year 3 is equal to R.

Theterminal valueat the end of year 4 is equal to R.

Thevalue of Naspers equityis equal to Rand thevalue per shareis equal to R