Episode 6 – Fujifilm to ask a judge to enforce Fujifilm Xerox merger

Carl Icahn
Carl Icahn one of the two activist investors in Xerox who have disrupted the Fujifilm-Xerox merger announced on 31 January 2018

Fujifilm is expected to ask a judge to enforce Xerox’s US$ 6.1 billion merger agreement in the next several days, according to a story in New York’s The Post dated 15 June 2018. An unnamed source told the publication that the move comes despite Carl Icahn’s best efforts to scuttle the deal.

On 31 January 2018, Xerox said it reached a deal to sell 49.9% of the company to FujiFilm for roughly US$ 32 a share — a deal that would net Xerox shareholders of which Icahn and Deason are the largest individual shareholders, a US$ 2.5 billion dividend.

After the deal was announced on 31 January 2018, shareholder activists Icahn and Darwin Deason won control of the Xerox board and have been pushing for a higher offer suggesting that the Xerox is worth US$ 40 a share. However on Friday 15 June 2018, Xerox shares closed at US$ 27.41, down 1.2%.

Xerox, has not yet paid Fujifilm a breakup fee — which would signify that the deal is off. There does not seem to be any talk of Xerox and Fuji reworking the original deal.

Fuji believes little will change until it makes its position known, a source close to the situation reported to The Post. “You won’t have to wait much longer to learn about Fuji’s intentions,” said the source.

This article has been slightly corrected on 19 June 2018 at 958am IST.

2023 promises an interesting ride for print in India

Indian Printer and Publisher founded in 1979 is the oldest B2B trade publication in the multi-platform and multi-channel IPPGroup. While the print and packaging industries have been resilient in the past 33 months since the pandemic lockdown of 25 March 2020, the commercial printing and newspaper industries have yet to recover their pre-Covid trajectory.

The fragmented commercial printing industry faces substantial challenges as does the newspaper industry. While digital short-run printing and the signage industry seem to be recovering a bit faster, ultimately their growth will also be moderated by the progress of the overall economy. On the other hand book printing exports are doing well but they too face several supply-chain and logistics challenges.

The price of publication papers including newsprint has been high in the past year while availability is diminished by several mills shutting down their publication paper and newsprint machines in the past four years. Indian paper mills are also exporting many types of paper and have raised prices for Indian printers. To some extent, this has helped in the recovery of the digital printing industry with its on-demand short-run and low-wastage paradigm.

Ultimately digital print and other digital channels 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. For instance, there is no alternative to a rise in textbook consumption but this segment will only reach normality in the next financial year beginning on 1 April 2023.

Thus while the new normal is a moving target and many commercial printers look to diversification, we believe that our target audiences may shift and change. Like them, we will also have to adapt with agility to keep up with their business and technical information needs.

Our 2023 media kit is ready, and it is the right time to take stock and reconnect with your potential markets and customers. Print is the glue for the growth of liberal education, new industry, and an emerging economy. We seek your participation in what promises to be an interesting ride.

– Naresh Khanna

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