What is the npv of the merger

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Reference no: EM132003450

Bidding firm (Firm B) has 5577 shares outstanding that are currently selling at $44 per share. Target firm (Firm T) has 1361 shares outstanding that are currently selling at $16 per share. Assume that both firms have no debt outstanding. Firm B has estimated that the value of the synergistic benefits from acquiring Firm T is $9009. If Firm T is willing to be acquired for $21 per share in cash, what is the NPV of the merger?

Reference no: EM132003450

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