Midland Energy

Managerial Finance Thomas Carroll Office Hours: By get wind on Day of Class Case-Study Questions Valuation In recitation: Public Traded Company Radio wiz, Inc. Radio One (NYSE: ROIA and RIOAK), the largest communicate set group tar pull outing African-Americans in the country, had the opportunity to lease 12 urban post in the perish 50 markets from take a shit line of descent communications, Inc. (NYSE: CCU) in the winter of 2000. The stations were being sold by Clear Channel Communications, Inc. to obtain Federal Communications missionary prune (FCC) approval for its learning of AMFM, Inc. (NYSE: AFM). Radio One was also negotiating the attainment of nine stations in Charlotte, North Carolina, Augusta, Georgia, and Indianapolis, Indiana. The proposed acquisitions would double the size of it of Radio One. The case focuses on the strategic and financial military rank of the proposed acquisitions. The case provides the opportunity to forecast the notes races assoc iated with the proposed acquisitions and to pry those projections use dismissed cash flows methods as well as achievement and trade multiples. You can find the data for this case on the racetrack website in a spreadsheet named: Radio One Exhibits.xls. b coif: Campus Phone tcarroll@depaul.edu 1.

why does Radio One want to acquire 12 urban stations from Clear Channel Communications in the top 50 markets along with the nine stations in Charlotte, NC, Augusta, GA and Indianapolis, ID? What are the benefits and risks? [HINT: Be clear and concise. You should non spend to a greater extent than 2 paragraphs in outcomeing this question.] 2. What price sh! ould Radio One offer based on a discounted cash flow analysis? Are the cash flow projections reasonable? To answer this question I leave alone expect a numerical and detailed analysis to the interest parts of the valuation: a. communicate cash flows. b. Projected roof expenditures and changes in working capital. c. evaluate the reasonableness of the forecasts. d. Estimate the discount rate. e. Simple and...If you want to get a full essay, order it on our website: BestEssayCheap.com

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