Connecticut-based company, Xerox, offered to buy California-based HP, Inc. for $22/share or $33 Billion. The deal seemingly makes sense since HP’s most profitable business sector, printers and ink, has been in decline as industry trends move to mostly digital. Xerox isn’t doing much better, with little investments in new opportunities like 3D printing. According to an article by Fortune, “From 2016 to 2018, Xerox’s sales fell 9% to $9.8 billion.”. I suppose two companies in decline are better together? Xerox spokesperson, Caroline Gransee-Linsey had this to say, “Our industry is long overdue for consolidation, and those who move first will have a distinct advantage. We look forward to expeditiously moving this process forward and creating additional value for shareholders.”.
November 7, 2019 in Business, Latest News