The copier maker is officially backing down from its efforts to force a merger with rival HP, citing market turmoil caused by the COVID-19 pandemic.
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HP has issued a letter to its shareholders deriding Xerox for advancing its tender offer and proposed slate of directors in the middle of the global coronavirus pandemic.
With the escalating coronavirus pandemic, Xerox said it will no longer hold meetings and interviews related to the HP bid. It's still moving forward with its tender offer and proposed board slate.
The tender offer is an increase above Xerox's initial proposal and aligns with HP's market value of $27 billion.
Xerox said it plans to bring a full slate of new directors to HP's annual shareholder meeting in an attempt to overthrow HP's existing board via shareholder vote.
Xerox's CEO said the financing commitment is meant to dispel concerns that Xerox couldn't raise the necessary capital to fund its buyout proposal.
Xerox outlines the logic behind its proposed HP acquisition in an investor presentation filed Monday.
Xerox is urging HP to reconsider its buyout offer or else it would take its case directly to HP's shareholders.
The company also announced a range of new cloud-based printing services and devices aimed at the mobile workforce.
HP is hoping to gain traction in the $55 billion A3 copier space and expand its Managed Print Services business.