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Ex Val
Ex Val
Regulatory Capital
Requirement 15.00% 16% 17% 18% 19% 20%
anuual increment 1.00%
Growth rate(for risk adjusted) 10% 10% 10% 10% 10%
PART 2
9% Cost of Equity 9%
(Mature Period)
ROE 15%
(Mature Period)
3% Growth rate 3%
reinvetment
20.0%
TV 3317.651
PART 3
Cost of Equ 12%
No. of shar 50
FCFE 35.00 33.00 30.25 26.62 21.96
PV OF FCFE 108.46778659454 31.25 26.3074 21.53135 16.91749 12.46154
DISCOUNTING FACTOR 0.89 0.80 0.71 0.64 0.57
VALUE OF 1,990.99
VALUE
PER
SHARE 39.82
TERMINAL 1,882.52
248.82
(49.76) MONEY FUNDED FROM EQUITY FROM THE SAME
199.06
KE 12%
VALUE PER SHARE 50 Million
BV OF Equity 750
PART 2
TVAT 3 3732.46091076923
PART 3
NO. OF SHARES 100 1 2
DR 0.909091 0.826446
FCFF 254.4 269.664
PV OF FCFF 231.2727 222.8628
PV OF FCFF 668.894244928625
PV OF TV 2804.25312604751
2000
YEAR4
415.9028
69.31713
485.2199
3
0.751315
285.8438
214.7587
PHARMA COSMETICS
REVENUE 1500 1000
NO PAT 90 120
IC 900 1000
COE 11.64% 14.52%
COD 8.33% 8.33%
Debt to total
capital 50.00% 50.00%
growth rate 3% 3%
REINVRSTMENT
RATE 25.77% 20.66%
beta 1.44% 1.44%
PHARMA
PAT 90
RI (27.00)
FCFF 63.00
growth rate 3% 3%
ROCE 10% 12%
RI 30.0% 25.00%
VALUE OF
BUSINESS 1184.4331641286
-
Err:509 WACC 8.31900%
VALUE OF FIRM
LESS DEBT
ADD CASH
VALUE OF EQUITY
RF 3%
RP 6%
TAX 40%
COSMETICS
120
(30.00)
90.00
1331.55792
1200
0
131.557923
DIRECTCOM MOVIE MAGIC
REVENUE 750 250
NO PAT 60 30
COST OF CAPITAL 9.00% 8.00%
RETURN ON CAPITAL 7.50% 6.00%
NET DEBT 100.00 50.00
growth rate 3% 3%
PART 3
VALUE OF FIRM 600 300 900
cost of capital 9% 8% 8.67%