Pre-acquisition market capitalization of amersham

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Suppose the pre-acquisition market capitalization of Amersham was $8 billion and that this market capitalization did not reflect the possibility that Amersham will be acquired. In order to justify the purchase price of $10 billion for all of Amersham's equity, what is the additional annual no-growth FCF in perpetuity that GE needs to generate, starting from one year after the acquisition? The relevant WACC is 10%.

Reference no: EM133116495

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