Xerox launches hostile $27 billion takeover bid for HP

Posted on Tuesday, March 03 2020 @ 13:48 CET by Thomas De Maesschalck
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For the last couple of months, Xerox has been trying to acquire HP. A possible merger was first discussed in September and now Xerox is back at it with a $27 billion hostile takeover bid.
Xerox has pitched HP investors on a cash-and-stock offer worth $24 a share. For each HP share, a holder would receive $18.40 in cash and 0.149 Xerox shares. The offer is set to expire April 21, Norwalk, Connecticut-based Xerox said Monday in a statement.

The photocopying pioneer has said combining the companies would yield $2 billion in cost savings and more than $1 billion in additional revenue growth. Both hardware companies invented technologies still in use by consumers and office workers, and have struggled in a world increasingly driven by software.
HP rejected the bid as the company claims Xerox is undervaluing its assets. HP executives say they will try to negotiate a more favorable deal.

Via: Bloomberg

About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

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