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Black Scholes model to value equity?

Ssameed12y ago
Hi John, if you look at question Aggrochem Co June 10 , the acquirer has no debt hence Pe is taken as just the redemption value of debt of acquiree(Leverchem) , I wanna ask if the acquirer(aggrochem) also had debt then would the Pe include the value of their debt as well? Thanks
John MoffatJohn MoffatTutor12y ago#1
Yes you would :-)
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