Xerox Aborts $6.1bn Sale To Japan's Fujifilm

Xerox company is seen on a building in Minsk Belarus

The merger between Fujifilm Corp. and Xerox Corp. Xerox once again terminated its agreement with Fujifilm and said the company will explore strategic alternatives.

Icahn and Deason have opposed the Fujifilm transaction from the start. "Fujifilm will urge the Xerox board of directors to reconsider their decision".

"The transaction can not reasonably be expected to be completed under these circumstances, particularly given. the lack of shareholder support for the transaction on current terms, as well as the unresolved accounting issues at Fuji Xerox", the board said.

Icahn said: "We are extremely pleased that Xerox finally terminated the ill-advised scheme to cede control of the company to Fujifilm".

The Xerox board said it had repeatedly requested a new round of negotiations with Fujifilm that might lead to the Japanese group improving its takeover bid. Xerox says the board, with the new members, will meet immediately to discuss alternatives to that merger.

As part of the deal, directors Robert J. Keegan, Charles Prince, Ann N. Reese, William Curt Hunter, and Stephen H. Rusckowski have resigned from the Xerox board, with Jonathan Christodoro, Keith Cozza, Nicholas Graziano, Scott Letier and John Visentin replacing them.

Existing board members Gregory Brown, Joseph Echevarria, Cheryl Krongard and Sara Martinez Tucker remain in post. It has also found common ground with Carl Icahn and Darwin Deason, who together own 15% of the business. The first, filed on February 18, sought to stop the Fujifilm-Xerox deal from going through.

As previously reported, a year ago Fujifilm discovered accounting irregularities within two subsidiaries of its joint-venture Fuji Xerox Australia New Zealand operations.




Fujifilm shares rose 1.3% at 1:44 p.m.in Tokyo trading on Monday, giving the company a market value of $20.2 billion. The combined company was valued at about $45 per share, according to the announcement.

Icahn and Deason repeated their calls last week for Xerox to scrap the Fuji transaction, fire Jacobson, hire a new CEO, and have the board resign.

This made it all the more contentious when Xerox allowed the deal it made with Icahn and Deason to expire on May 4.

Xerox said it would not proceed with the deal, partly because of "material deviations" between audited results from its Asian joint venture with Fujifilm, Fuji Xerox, and previous unaudited statements.

While CEOs and directors should stay in close contact with major shareholders to monitor their concerns and hopefully avoid proxy fights, a conflicted CEO brokering major deals presented too many issues for Xerox.

However, Fujifilm responded by questioning the legality of the move.

Underneath the plan that Xerox (XRX) and Fujifilm (FUJIF) introduced in January, the USA firm's operations can be merged with these of Fuji Xerox, a three way partnership between the 2 companies.

Related news:

Hot News

isis-killer-beheading-video-story-top Cleveland Cavaliers C Tristan Thompson could start Game 2 vs. Boston Celtics
May 15, 2018 - 14:36
He's going to approach this game as one he's going to have to lead and bounce back". There's lot of things we can do better in the next one".

isis-killer-beheading-video-story-top Elon Musk says Tesla planning 'thorough reorganisation'
May 15, 2018 - 14:34
Tesla CEO Elon Musk said in a memo on Monday that the company is reorganizing in an effort aimed at "flattening management". Musk also said that the company would continue to hire hourly and salaried positions for Model 3 production .

isis-killer-beheading-video-story-top Disillusionment appears to help Shiite cleric in Iraq vote
May 15, 2018 - 14:30
Despite that, al-Sadr's sophisticated political machine mobilized his loyal base of followers to go to the polls. Iraq's many political factions mean a government may only be formed after drawn out negotiations.

isis-killer-beheading-video-story-top United States scientists transfer memory from one snail to another by transplanting RNA
May 15, 2018 - 14:27
To treat memory-related illnesses in humans, we've first got to understand how the brain stores memories in the first place. In fact in 2014 his team had already published a paper which implied that lost memories could be restored .

isis-killer-beheading-video-story-top Jets Look To Extend Series Lead Over Golden Knights
May 15, 2018 - 14:24
That means Haula and Tuch still haven't beaten their former team, although it's safe to say they're getting the last laugh. This makes the first period and the first goal extremely vital, as it has proven to be through the first two games.

isis-killer-beheading-video-story-top Bangladesh launches its first satellite
May 14, 2018 - 03:34
Air pressure global positioning satellites and other high-value, military and national security payloads. The 3.9-ton satellite traveled to a path 22,000 miles above Earth and went into orbit at 4:52 p.m.

isis-killer-beheading-video-story-top Delhi-NCR hit by sudden dust storm, rain; flights grounded
May 14, 2018 - 03:33
UP was the worst affected, accounting for 80 deaths, majority in Agra district in the western part of the state. Deaths were registered as a result of falling trees and electric posts, collapsed walls and lightning strikes.

isis-killer-beheading-video-story-top Pakistan played a role in 26/11 Mumbai terror attacks: Nawaz Sharif
May 14, 2018 - 03:32
A spokesman for Mr Sharif said: "At the outset, statement of Nawaz Sharif has been grossly misinterpreted by the Indian media". Pakistan Tehreek-e-Insaf founder and former cricket captain Imran Khan tweeted his condemnation of Sharif's remarks Sunday.

isis-killer-beheading-video-story-top Mourinho expects Carrick to be future Man United assistant boss
May 14, 2018 - 03:28
I've identified them a very long time - each began their careers with my dad at West Ham - and I've liked watching them. He will be determined to prove himself on the world stage but I hope he is able to enjoy it.

isis-killer-beheading-video-story-top Jorge Linares Vows to "Shut Up" Lomachenko
May 14, 2018 - 03:26
As well as being more agile, Lomachenko uses his head and foot movement to great effect, allowing him to create awkward angles. World champion Jorge Linares has promised to "shut up" pound-for-pound ace Vasyl Lomachenko when they meet this Saturday night.

isis-killer-beheading-video-story-top Google will remind the user to stop watching videos on YouTube
May 13, 2018 - 07:30
So if you have Netflix casting to a TV screen and nothing else running on your phone, all of that watchtime doesn't get logged. Not only does it deliver a ton of new functionality, but it's also an excellent example of the company's new "Material Theme".

isis-killer-beheading-video-story-top Najib, wife barred from leaving Malaysia
May 13, 2018 - 07:29
Najib has been accused of diverting $700 million from a state investment fund in 2015, a charge he denies. Mahathir has indicated that Mohamed Apandi would be fired for hiding evidence of wrongdoing.

isis-killer-beheading-video-story-top Anwar to be pardoned and out on Tuesday
May 13, 2018 - 07:27
He said he doesn't want a "huge" cabinet, in a veiled reference to past cabinets with more than 30 ministers. However, this is the first time she is leading an election campaign since 2004.

isis-killer-beheading-video-story-top 2015 nuclear deal should have targeted Iran's policies
May 13, 2018 - 07:26
Trump would be wise to remember that he represents the United States, not just his personal interests or his political party. In addition, France and the European Union are pressing Washington for exemption from Trump's steel and aluminum tariffs.

isis-killer-beheading-video-story-top 'Deadpool 2' Trailer: David Beckham Gets An Apology, 'Boltneck' Doesn't
May 12, 2018 - 03:00
It doesn't look like he'll take on the role again, not even for his good buddy Ryan Reynolds. He chooses a very derivative title for the mutant team he forms to counter Cable: X-Force.