Determine equity value per share

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Question: Determine equity value per share given the following information. Round your final answer to two decimal places. For example, if your answer is $89.12, enter 89.12 with no currency symbol.

8.20% WACC (Weighted Average Cost of Capital)

The company is expected to generate the following forecasted FCFF (Free Cash Flow to the Firm):

Year 1: 91.3 million

Year 2: 93.0 million

Year 3: 94.7 million

Year 4: 96.4 million

Year 5: 98.1 million

FCFF has a terminal value of 1,070.2 million at the end of Year 5.

The market value of debt is $374.6 million.

There are 8.6 million shares outstanding.

The company faces a 22% tax rate.

Reference no: EM133432337

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