Episode 4 – Xerox board walks away from Fujifilm deal

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Episode 4 – Xerox board walks away from Fujifilm deal
Keith Cozza

The Fujifilm takeover of Xerox, which was proposed in January 2018, and contested by investors Carl Icahn and Darwin Deason in the courts, is off. Xerox said the deal was being terminated because of Fujifilm’s failure to enter into negotiations on improved terms. The former board of Xerox said in a statement released on 13 May 2018, “Over the past several weeks, the Xerox Board has repeatedly requested that Fujifilm immediately enter into negotiations on improved terms for a proposed transaction. Despite our insistence, Fujifilm provided no assurance that it will do so within an acceptable timeframe.”

Fujifilm currently owns 75% of Fuji Xerox, a joint venture launched more than 50 years ago. Under the proposed deal announced in January, Fuji Xerox would buy back that stake from Fujifilm for around US$ 6.1 billion and Fujifilm would use those proceeds to buy 50.1% of new Xerox shares.

Former CEO and board member Jeff Jacobsen has resigned and five new board members, nominated by Icahn and Deason, have joined the new board including incoming chairman Keith Cozza and John Visentin as chief executive officer. The two investors, who together control about 13% of Xerox stock, have said they would be willing to consider any offers for the company of US$ 40 a share or more.

The Covid-19 pandemic led to the country-wide lockdown on 25 March 2020. It will be two years tomorrow as I write this. What have we learned in this time? Maybe the meaning of resilience since small companies like us have had to rely on our resources and the forbearance of our employees as we have struggled to produce our trade platforms.

The print and packaging industries have been fortunate, although the commercial printing industry is still to recover. We have learned more about the digital transformation that affects commercial printing and packaging. Ultimately digital will help print grow in a country where we are still far behind in our paper and print consumption and where digital is a leapfrog technology that will only increase the demand for print in the foreseeable future.

Web analytics show that we now have readership in North America and Europe amongst the 90 countries where our five platforms reach. Our traffic which more than doubled in 2020, has at times gone up by another 50% in 2021. And advertising which had fallen to pieces in 2020 and 2021, has started its return since January 2022.

As the economy approaches real growth with unevenness and shortages a given, we are looking forward to the PrintPack India exhibition in Greater Noida. We are again appointed to produce the Show Daily on all five days of the show from 26 to 30 May 2022.

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