Xerox shares down after board cans Fujifilm deal

The logo of Xerox company is seen on a building in Minsk Belarus

The logo of Xerox company is seen on a building in Minsk Belarus

Xerox has called off its sale merger with Fujifilm after Xerox made a last-minute deal with two of its investors, it has emerged.

At the same time, the USA firm said it took into account "other circumstances limiting the ability of the company, Fujifilm and Fuji Xerox to consummate a transaction", suggesting that its decision was affected by opposition from the major shareholders.

Xerox said it was terminating its agreement to combine with Fuji Xerox after Fujifilm failed to provide audited financials for the joint venture on time, and other issues.

In an agreement with the two investors, which together own about 13% of Xerox (xrx), the USA office equipment supplier said CEO Jeff Jacobson will step down along with several other board members. Keith Cozza is expected to be named Chairman of the Board.

Icahn and Deason are known for vocally criticising Xerox's leadership team, specifically its decision to allegedly erode shareholder value, by entering into a deal with Japanese Fujifilm.

Xerox notes that within a few weeks asked Fujifilm the immediate commencement of negotiations on the improvement of the conditions of the transaction.

Xerox said it believes that the transaction can not reasonably be expected to be completed under the circumstances, particularly given the court injunction and that shareholders didn't support it on current terms, as well as unresolved accounting issues at Fuji Xerox.

Mr Icahn welcomed the outcome, stating "we have been exceptionally delighted that Xerox lastly declared the ill advised strategy to seize charge of the business to Fujifilm".

Five brand new board administrators have been appointed, " that the united states printer and photocopier manufacturer said in a statement.

Fujifilm was quick to take a combative stance, saying it disputes Xerox's right to terminate the deal and would look at all options including legal action seeking damages.

Icahn said in a statement he's extremely pleased that Xerox ended the deal. The pair said they would be willing to consider any offers for the company of $40 a share or more.

In the wake of the announcement of Xerox's takeover in January, Fujifilm announced a cost savings plan envisaging thousands of job cuts at Fuji Xerox. "We are therefore also pleased that John Visentin, a tried and true veteran in this area, will be taking the helm". They had criticised the United States company's chief executive and board for entering an agreement with Fujifilm that they said destroyed shareholder value. The first settlement agreement was allowed to expire as Xerox came to believe it had flexibility to renegotiate a deal with Fujifilm and also took into account a stock dive that followed the agreement.

Recommended News

  • Colorado girl seriously injured in bear attack outside home

    Colorado girl seriously injured in bear attack outside home

    The incident happened in east Orchard Mesa, which is just south of Grand Junction on the other side of the Colorado River. Officials said they set three traps for the animal on Sunday and that if it is captured, it will be destroyed.
    China launches first domestically-made aircraft carrier

    China launches first domestically-made aircraft carrier

    As of now the vessel remains a ship with no name and is presently referred to as Type 001A. Neither Liaoning nor the new unnamed carrier is nuclear powered.
    Where can I watch Leinster vs Racing 92 on TV?

    Where can I watch Leinster vs Racing 92 on TV?

    Well, Leinster and Racing 92 share between them the five nominees for this year's European Player of the Year. He was enormous in their semi-final win over Munster, making 20 tackles and constantly slowing down ball.
  • Long lost massive asteroid to pass close by the Earth

    Long lost massive asteroid to pass close by the Earth

    Hopefully, the space agency's asteroid defense system will be ready before any asteroid gets dangerously too close to our planet. On May 8, 2018 - nearly eight years later - astronomers discovered an asteroid and gave it the temporary designation ZJ99C60.
    Tigers Take Game One From Mariners, 4-3

    Tigers Take Game One From Mariners, 4-3

    Kyle Seager hit a solo homer in the second for Seattle , but Niko Goodrum homered and had three hits for the Tigers. Not long afterward, X-rays determined that Cano suffered a fractured fifth metacarpal bone in his right hand.
    UK PM May: Committed to ensuring Iran deal is upheld

    UK PM May: Committed to ensuring Iran deal is upheld

    May said it is in both Britain's and Iran's national security interests to maintain the deal. He was warmly welcomed by Iran's President Hassan Rouhani at Saadabad Palace.
  • Dead In Eastern Afghanistan City After Gun Battle Starts, Bomb Detonates

    Dead In Eastern Afghanistan City After Gun Battle Starts, Bomb Detonates

    Earlier, he said the attack had been carried out by four attackers and that there had been two explosions. The militant attack is the latest in a series across Afghanistan this year.
    Box Office Report: 'Avengers: Infinity War' Remains Unstoppable

    Box Office Report: 'Avengers: Infinity War' Remains Unstoppable

    It was the first time a release directed by her husband, Ben Falcone (" Tammy ", " The Boss "), didn't open over $20 million. It is the 21st movie in Korean cinema to sell 10 million or more tickets, and the fifth foreign movie to do so.
    Future of Newcastle captain Lascelles depends on Benitez decision

    Future of Newcastle captain Lascelles depends on Benitez decision

    Shelvey has called on Newcastle to do everything possible to keep hold of a manager who has not only lifted the mood in the club but also across the entire city.
  • Police Suspect Autopilot Was at Fault in Friday's Tesla Crash in Utah

    Police Suspect Autopilot Was at Fault in Friday's Tesla Crash in Utah

    Fox 13 reports the driver of the fire truck wasn't injured at all and drove away from the scene in the truck that got hit. Tesla's Autopilot system uses cameras, radar and computers to keep speed, change lanes and automatically stop vehicles.
    Pittsburgh Pirates, 5-11

    Pittsburgh Pirates, 5-11

    After allowing home runs to Cervelli and Polanco on Saturday, Samardzija has given up 35 home runs in his last 37 starts . Nova (2-3) gave up four runs and eight hits in 5⅔ innings and is 0-2 in five starts since beating Miami on April 15.
    Pakistan blocks U.S.  diplomat from leaving country

    Pakistan blocks U.S. diplomat from leaving country

    Sources said that the USA diplomat wasn't present at the airbase but would reach there after being allowed to leave the country. On April 7, his vehicle ran a red light and a motorcyclist, Ateeq Baig, 22, was killed in the capital, Islamabad .

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.