Balance Sheet

ABC
Liabbilities
Assets
equity share capital 10000 shares
100000 FA
Reserves
900000 Cash
Debt @10%
10% 2500000 Drs
CL
500000 Stock
Investments
4000000

NP
EPS
P/E
E/P ( Cost of capital)
Depriciation rate
old Nosh ABC
valuation per share ABC
Shares to be issued
total Shares

100000
10.0
25
0.4
10%
10000
250

tax rate
b4 tax Synergies
impairment
acquition price
int on new dept
int on cash

30%
50000
5000
600000
11%
4%

Minimum cash

100000

250
Liabilities
equity share capital 50000 shares
Reserves
Debt @12%
12%
CL

2500000
500000
400000
250000
350000
4000000

NP
EPS
P/E
E/P ( Cost of capital

+
+
-

NP Of ABC
NP Of xyz
additional dep (post Tax)
Imparment
int on cash (post tax)
Synergies (post tax)
int on Debt ( post tax)

100000
30000
3500
5000
13020
35000
10395
133085

NP Of ABC

100000

+
+
-

NP Of xyz
additional dep (post Tax)
Imparment
int on cash (post tax)
Synergies (post tax)
int on Debt ( post tax)

30000
3500
5000
0
35000
0
156500

XYZ
BV
FV
50000
FA
400000 600000 Goodwill
100000 100000 Cash
250000 250000 Drs
Stock
Investments
800000 950000

30000
0.6
20
0.5

10000
10
3
0.35
0.5
1.302
3.5
1.0395
13.3

12400
8.06452

Cash available
Cash required

BV

FV
450000

65000
130000
55000
100000
800000

500000
100000
65000
130000
55000
100000
950000

565000
700000
135000

deal is in cash and not shares so only 10000 shares are c

cash = 565000-100000

no. of shares

2.41935
0.28226
0.40323
0
2.82258
0
12.621

2400
12400

10000 shares are considered for eps