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1. enables the acquirer to make an all-equity purchase, thereby avoiding additional financial leverage.
2. enables the acquirer to diversify its asset base.
3. increases the market price of the acquirer's stock over what it would have been without the acquisition.
4.increases financial leverage.
Yes Option3 is the right answer.
3. increases the market price of the acquirer's stock over what it would have been without the acquisition.
