Refinancing (as of 31/12/2019) 5a.)Using the Cash Flow projections in Exhibit 4[in photos,...

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Finance

Refinancing (as of 31/12/2019)
5a.)Using the Cash Flow projections in Exhibit 4[in photos, with the
exclusion of lines 8,9,10 and 15 that need to be recomputed on the basis of the
refinancing option described at point 2) of the previous page], build a debt
repayment model in which the new loan is repaid as quickly as possible over the
next 8 years, and forecast the CCFs.
5b.)Using the CCF projections produced in 5), what would
the enterprise value of Gen Co?[Assume that the 5-year government yield is 5%
and the Equity Risk Premium is 6%, the Firm Size Premium is 5%, and a growth
rate in perpetuity of 3% after year 2027. Assume that the comparables provided
in Exhibit 3(in photos) are still appropriate to find the discount rate to use.]

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