There are reports that Xerox could be buying HP Inc., the printer and computer company best known for its stylish and high end laptops.
The company issued a public statement this afternoon confirming that there are talks ongoing and its a priority for the tech giant which is in the best interests of the shareholders.
The Wall Street Journal published a report that Xerox was interested in the printer company stating the offer could be for more than $27 billion.
HP acknowledged there are ongoing discussions between them and Xerox and that it received an offer letter from it yesterday.
The interesting bit about this possible deal is that HP is the company with a much larger market cap of $29 billion, while Xerox is just a tad over $8 billion.
So far, HP has come out and issued the following statement regarding the on going discussions that they are having with Xerox as they look towards a favorable deal.;
“As reviewed at HP’s most recent Securities Analyst Meeting, we have great confidence in our multi-year strategy and our ability to position the company for continued success in an evolving industry, particularly given the multiple levers available to drive value creation.”
“Against this backdrop, we have had conversations with Xerox Holdings Corporation (NYSE: XRX) from time to time about a potential business combination. We have considered, among other things, what would be required to merit a transaction. Most recently, we received a proposal transmitted yesterday.”
“We have a record of taking action if there is a better path forward and will continue to act with deliberation, discipline and an eye towards what is in the best interest of all our shareholders.”
Hewlett-Packard, one of the early stalwarts of Silicon Valley, split into two companies in 2014. HP Inc. got printers and PCs while HP Enterprise took on servers and enterprise software.
What you need know about HP
The Hewlett-Packard Company commonly known as HP or Hewlett-Packard was an American multinational information technology company headquartered in Palo Alto, California.
It developed and provided a wide variety of hardware components as well as software and related services to consumers, small- and medium-sized businesses (SMBs) and large enterprises, including customers in the government, health and education sectors. In 2015, it was split into two separate companies, HP Inc. and Hewlett Packard Enterprise.
Also read: Twitter Bans Political Advertising
Author: Moses Echodu
Moses is a freelance writer for Newslibre and Programs Manager at the Craft Silicon Foundation. He loves writing about sports, politics and news around the globe and Inspiring new young people!!