Price per share after new issuance will be $50
Explanation:
Given data:
The number of shares that are additionally issued by the company= 30 million, price at which the shares are issued by the company = $50, market price of shares = $50
Resulting price per share after the issuance will be:
[tex]$=(158 \text { million } * \$ 50+30 \text { million } * \$ 50) /(158 \text { million }+30 \text { million })$[/tex]
After solving the above equation, we get,
= $50
Therefore, the resulting price per share after the new issuance will be $50
