Xerox Makes Reported $33B Offer to Acquire HP

What a difference a day makes. On Nov. 5, I reported that Xerox Holdings and Fujifilm Holdings had reached an agreement whereby Fujifilm will acquire Xerox's 25% stake in their 57-year-old Asia and Pacific Rim joint venture, Fuji Xerox, for $2.3 billion. Their pact also included provisions that Tokyo-based Fujifilm drop the $1 billion lawsuit it had filed in June of last year after Norwalk, Conn.-based Xerox pulled out of a definitive merger agreement between the two companies, which would have given Fujifilm 50.1% control. They also agreed to expand their manufacturing supply chain relationship further, allowing Fuji Xerox to OEM certain products — such as engines for digital printers — for Xerox on a worldwide basis (including the U.S. market).

But that $2.3 billion payout Xerox will receive may not remain in the company's coffers for long. Early Nov. 6 the Wall Street Journal (WSJ) broke a story that Xerox is mulling over a reported $33 billion (according to Nov. 8 news reports, HP has now confirmed that an offer was made) cash-and-stock offer to acquire HP Inc., a Palo Alto, Calif.-based, fellow iconic-named company with a market value more than three times its own.

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