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Opao Co Dec 18

AAsma6y ago
Hello Sir , I do have one question related to part c( ii) where we have been asked to calculate the percentage gain , I do try to solve it but couldn’t Please assist
John MoffatJohn MoffatTutor6y ago#1
I will assist with pleasure, but you will have to be more specific as to which part of the examiners answer to c(ii) that you are not clear about. I assume that you are happy that the new value of the company after the acquisition is $6,720m as calculated in the previous part of the question, and that therefore the total gain to be made is $720m. The question is wanting to know how this $720m is split between the shareholders, which depends on the payment method. I assume also that you are happy with the calculations when the payment method is cash of $4.80 per share?
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