Xerox halts pursuit of HP amid Covid-19 upheaval
By Madelaine Thomas 18 March 2020

Xerox has suspended its pursuit of rival HP, citing the growing threat of the coronavirus pandemic as the reason for its postponement.

「増加するCovid-19パンデミックに照らして、Xeroxは、HPの買収提案を含む他のすべての考慮事項よりも、従業員、顧客、パートナー、関連会社の健康と安全を優先する必要があります」と Xeroxの副会長・CEOである John Visentinは述べています。 「世界中の政府やヘルスケアリーダーからの報告を注意深く監視し、ビジネスコミュニティの同僚と協力してウイルスの蔓延と影響を最小限に抑えているため、追加のプレゼンテーションのリリース、メディアへのインタビュー、との会議を延期することが賢明であると信じています。HPの株主の皆様は、Xeroxのさまざまな関係者をパンデミックから保護することに時間とリソースを集中できるようにしています。」

“In light of the escalating Covid-19 pandemic, Xerox needs to prioritise the health and safety of its employees, customers, partners and affiliates over and above all other considerations, including its proposal to acquire HP,” says John Visentin, Xerox vice chairman and CEO. “As we closely monitor reports from government and healthcare leaders across the globe and work with colleagues in the business community to minimise the spread and impact of the virus, we believe it is prudent to postpone releases of additional presentations, interviews with media and meetings with HP shareholders so we can focus our time and resources on protecting Xerox’s various stakeholders from the pandemic.”

Xerox does not consider the market decline since the date of its offer or the temporary suspension of trading in HP shares that occurred on 10 March, 2020 and 12 March, 2020 as a result of market-wide circuit breakers procedures to constitute a failure of any condition to its offer to acquire HP. Xerox will take the same view on any future temporary trading halts, unless otherwise stated in advance, the company says.

Earlier this month (March 2020), HP rejected another bid from Xerox. The company raised its takeover bid to around US$35b from US$24bn but HP said the bid still undervalued its business.

HP requested shareholders to reject Xerox’s tender offer, saying it would disproportionately benefit Xerox shareholders relative to HP shareholders, according to Reuters.

シティはゼロックスのファイナンシャルアドバイザーを務めており、キング&スポルディングLLPはゼロックスに弁護士を提供しています。 Willkie Farr&Gallagher LLPはゼロックスの独立取締役に弁護士を提供しており、Moelis&Companyはゼロックスの独立取締役の財務顧問を務めています。
Citi is acting as Xerox’s financial advisor, and King & Spalding LLP is providing legal counsel to Xerox. Willkie Farr & Gallagher LLP is providing legal counsel to Xerox’s independent directors, and Moelis & Company is acting as financial advisor to Xerox’s independent directors.

With the ongoing pandemic, there is little doubt that the consolidation of the digital printing and digital textile printing industry will slow in such uncertain times.