HP soon to become a subsidiary of Xerox
The computer and printer company reported that they received an offer letter from Xerox yesterday concerning the deal, and what weird about this whole thing is the fact that HP has a higher market cap of $29 billion, whereas Xerox has just $8 billion.
Here is the complete statement by HP concerning the deal:
“As reviewed at HP’s most recent securities analyst meeting, we have great confidence in our multi-year strategy and our ability to position the company for continued success in an evolving industry, particularly given the multiple levers available to drive value creation.
Against this backdrop, we have had conversations with Xerox Holdings Corporation (NYSE: XRX) from time to time about a potential business combination. We have considered, among other things, what would be required to merit a transaction. Most recently, we received a proposal transmitted yesterday.
We have record of taking action if there is a better path forward and will continue to act with deliberation, discipline and an eye towards what is in the best interest of all our shareholders.”