Use the Information for the Question(s)below

Use the information for the question(s) below.
KD Industries has 30 million shares outstanding with a market price of $20 per share and no debt.KD has had consistently stable earnings,and pays a 21% tax rate.Management plans to borrow $200 million on a permanent basis through a leveraged recapitalization in which they would use the borrowed funds to repurchase outstanding shares.
-If KD can repurchase its existing shares at $20 per share,what will the new share price be after the transaction?

A) $22.35
B) $22.00
C) $22.65
D) $22.10