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What is the maximum price per share that Mondo should offer

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Reference no: EM132600583

Question - The equity owners of Mondo Cult Inc. are considering purchasing Pulpless Inc, a small online bookstore. Mondo's analysts believe that the merger will result in incremental free flows and tax savings with a combined net present value of $210 million. Pulpless has 6 million shares outstanding and zero debt. Pulpless's current stock price is $8.01. What is the maximum price per share that Mondo should offer?

Reference no: EM132600583

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