medium · Investment Banking ma-lbo
In a merger model, Acquirer Co has 100 million shares and earns $5.00 per share standalone. It issues 20 million new shares to buy Target Co. Target Co contributes $150 million in Net Income.
Excluding synergies, what is the pro-forma EPS?
- $7.50
- $6.50
- $5.00
- $5.42
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