Xerox’s $35B quest for HP scotched on coronavirus concern
Citing economic turmoil of the coronavirus pandemic, Xerox is tabling its attempted hostile takeover of print equipment rival HP.
Norwalk-based Xerox was weeks into a buyout offer valued originally at $35 billion for shares of HP held by independent investors. The board of Palo Alto, Calif.-based HP had rejected it as not reflecting the stock’s future worth.
Xerox did not state immediately how many HP investors tendered their shares under its offer. In the past month, Xerox shares were down 43 percent to just under $19, with HP off 21 percent to $17.36 a share.
Xerox CEO John Visentin suggested in mid-March that the deal could be put on hold, tabling meetings with investors as Connecticut and California instituted “stay-at-home” policies to limit the transmission of the novel coronavirus, COVID-19, among other states.
“While it is disappointing to take this step, we are prioritizing the health, safety and well-being of our employees, customers, partners and other stakeholders, and our broader response to the pandemic, over and above all other considerations,” a Xerox corporate statement read on Tuesday.
Alex.Soule@scni.com; 203-842-2545; @casoulman