HP doesn’t want to open the books for Xerox
Computer and printer manufacturer HP has called again on the copier and printer manufacturer Xerox. An unsolicited takeover bid was recently rejected, but now HP did not agree with Xerox’s request to open the books.
According to HP, Xerox has not proved that it is “healthy” enough to raise enough financing for a takeover, let alone successfully complete the transaction. “Your proposal does not form the basis for a book investigation or negotiation,” said HP Enrique Lores by letter to his colleague John Visentin of Xerox. There was also talk of opportunistic action and “aggressive words and actions” of the Xerox administration.
Xerox recently expressed its interest in the much larger HP, for which it generates more than $ 33 billion in shares and cash. A deal would merge two of the biggest names in the field of office equipment.
The international market for printing and copying equipment has been under pressure for some time due to the movement of companies to the cloud and other internet services. HP has been struggling for years in the personal computer market, recently appointed a new top executive and is cutting its staff to cut costs. The print division of the company, currently an important source of profit, is also seeing revenue decline.