How many of its shares should firm a offer in exchange for


Firm A is planning on merging with Firm B. Firm A currently has 2,300 shares of stock outstanding at a market price of $20 per share. Firm B has 750 shares outstanding at a price of $15 a share. The merger will create $200 of synergy. How many of its shares should Firm A offer in exchange for all of Firm B's share if it want its acquisition cost to be $12,000?

Request for Solution File

Ask an Expert for Answer!!
Risk Management: How many of its shares should firm a offer in exchange for
Reference No:- TGS02334014

Expected delivery within 24 Hours