How to solve for control premium measure

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Reference no: EM133411736

Question

How to solve for a control premium measure.

The control premium typically paid in acquisitions of eye care firms in which the acquirer is a financial buyer is 25%. You observe that Bright eyes care paid a 35% control premium when it acquired X Ray Eye Care. What might account for the higher control premium bright eyes Care paid?

Reference no: EM133411736

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Typically paid in acquisitions of eye care firms : The control premium typically paid in acquisitions of eye care firms in which the acquirer is a financial buyer is 25%.

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