What will the beta of the equity in the firm

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Safe Corp which owns and operates grocery stores across the US, currently has $ 50 million in debt and $ 100 million in Equity outstanding. Its stock has a beta of 1.2. Its stock has a beta of 1.2. Debt-Equity ratio to 8. Debt-Equity ratio to 8. What will the beta of the equity in the firm be after the LBO?

Reference no: EM13890073

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