Lawstreet Journal

Xerox Launches $35B Hostile Takeover Bid For HP

Lawstreet Journal 5 Mar 2020 12:33pm

Image courtesy: Lawstreet Journal Business Xerox Launches $35B Hostile Takeover Bid For HP

Xerox Holdings Corp. has initiated a promising proposal for all outstanding shares of HP Inc., which gave a new boost to the battle regarding Xerox taking control over the Personal Computer making giant. This idea was given thought almost 10 months ago by the executives at Xerox.

The photocopying pioneer has made a proposal to the HP Investors on a Cash-and-Stock offer of $24 per share. If acted upon the proposal, for a single HP Share, the holder would get $18.40 in cash and 0.149 Xerox shares. The deadline to accept is to be set on 21st April, Xerox said on 2nd March, 2020, Monday in a statement.

The Norwalk, Connecticut-based photocopying pioneer has said by joining the companies $2 billion would be yielded in cost savings and over $1 billion would be obtained through having additional revenue growth. Technologies invented by both the Hardware oriented companies is still used in offices and consumers on a daily basis and have struggled their way in a world which is mainly driven by software

Though HP’s board rejected the offer made by Xerox and termed it as to be undervaluing the Palo Alto, California-based company, and claimed that last week it will return $16 billion to shareholders as a sign to show that it can stand on its own. HP executives, however, said they will try and communicate with Xerox in order to reach a common ground regarding the terms of the proposal.

Our proposal offers progress over entrenchment," Xerox Chief Executive Officer John Visentin said… Continue Reading...


Tagged: Xerox HP  
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