BearKat Enterprises wants to go public and desires to raise $20million. They find an investment banker that has a spread

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BearKat Enterprises wants to go public and desires to raise
$20million. They find an investment banker that has a spread of
6.8%.
Currently BearKat Enterprises has 2 million shares of stock and
their estimated pre-IPO equity value is $77M.
What will be their post IPO equity value?
$44.8 M
$54.6 M
$88 M
$97 M
BearKat Enterprises wants to go public and desires to raise
$20million. They find an investment banker that has a spread of
6.8%.
Currently BearKat Enterprises has 2 million shares of stock and
their estimated pre-IPO equity value is $77M.
What percentage of the IPO value will be required by the new
investors?
22.12%
33%
35.12%
97%