Equity Valuation of NextGen Technologies Using Free Cash Flow

In the context of valuation, suppose that NextGen Technologies, a rapidly growing company, has projected the following Free Cash Flows (FCF) for the next five years:

• Year 1: $200 million
• Year 2: $250 million
• Year 3: $300 million
• Year 4: $350 million
• Year 5: $400 million

After Year 5, the company expects to maintain a stable growth rate of 4% indefinitely. The appropriate discount rate for this cash flow stream has been determined to be 10%. Based on this information, what is the estimated equity value of NextGen Technologies, assuming there are no outstanding debts or preferred shares?