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Schwartz Industry is an industrial company with 100100 million shares outstanding and a market capitalization​ (equity value) of $ 4$4 billion. It has ​$22 billion of debt outstanding. Management have decided to delever the firm by issuing new equity to repay all outstanding debt. a. How many new shares must the firm​ issue? b. Suppose you are a shareholder holding 100​ shares, and you disagree with this decision. Assuming a perfect capital​ market, describe what you can do to undo the effect of this decision.

User Novicef
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HA LOL

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User Stato Machino
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