medium · Investment Banking implied-share-price

A company is valued at an 8.0x EV/EBITDA multiple on LTM EBITDA of $150 million. The balance sheet shows $250 million in total debt, $50 million in unrestricted cash, and $25 million in noncontrolling interests.

If the company has 40 million basic shares outstanding and no dilutive securities, what is the implied share price?

  1. $24.38
  2. $30.00
  3. $25.00
  4. $23.13

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