What is the market-implied price per share

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1. Your firm has outstanding debt equal to $278 million, cash holdings equal to $87 million, and 26 million shares outstanding.

2. Your firm is currently privately held, and you would like to use information from publicly traded comparables to estimate a price for your stock ($ per share). Your firm's expected 2021 EBITDA is $52 million. The industry median ratio of enterprise value to EBITDA is 7.5. What is the market-implied enterprise value of your firm?

3. What is the market-implied price per share?

4. You have completed a DCF valuation of Taxis Inc's operations and estimate an enterprise value of $445 million. There are currently 9 million shares outstanding. Taxis Inc has $10 million in debt and $24 million in cash. There are also 500,000 warrants outstanding with an average strike price of $4 per share. Please estimate the equity value per share of Taxis Inc. (assuming exercise of the warrants).

Reference no: EM133074195

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