Need help determining a strategy for my company project!!!!!?

Hello I am putting togethor a project for a company. I am trying to determine if the project should be undertaken with equity (such as a common stock issuing) or if it should be done with debt financing. Here are some of the statistics I have put togethor.
I need 120 million dollar either from equity or debt.
-My IRR is 24.76%, the Wacc of the company under the current situation is 20.46%
-I determined that if I issue stock my equity would increase by 120 million, which would cause my Wacc to go up to around 20.51%.
-The company currently has roughly 98% equity and 2% debt.
-I also determined that if I decide to take on the project with debt financing my Wacc would be roughly 16.77%.
-The NPV of my project under the equity method is around 10.2 million dollars. The NPV under the debt method is around 21.4 million dollars.
From what my data is showing taking on the lower Wacc (debt financing) seems to optimize my NPV. Does my data seem to make sense? Any advice thanks!!!

Go with the equity...it's always the best choice..

Tags

　　Easy Money 　　Easy Investing 　　Earn Money 　　Direct Investment 　　Debt Financing 　　Capital Investment 　　Business Investment 　　Business financing

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