Value of equity after recapitalization

Assignment Help Financial Management

Reference no: EM13826759

Value of Equity after Recapitalization:

Nicki Corporation's value of operations is equal to $500 million after a recapitalization (the firm had no debt before the recap). It raised $150 million in new debt and used this to buy back stock. Nicki had no short-term investments before or after the recap. After the recap, w_d= 30%. What is S (the value of equity after the recap)?

Reference no: EM13826759

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