Xerox stops attempting to hostile take over HP

Xerox has withdrawn its hostile takeover bid for HP in the past month. The company is doing this because of the economic consequences of the outbreak of the new corona virus.

Xerox says the company is “disappointed to have to take this step,” but that the health of its employees is a priority. At the same time, the company maintains its view that merging the two companies would have made sense. “HP’s refusal to engage meaningfully over many months, and continued delaying tactics, have proved a disservice to HP’s shareholders.” HP, in turn, issued a brief statement to its shareholders, but makes no substantive statements about the withdrawal of Xerox.

Xerox revealed its plans to acquire HP late last year. The company then made an offer of more than $27 billion. HP did not comment on this. Xerox then filed a hostile takeover bid in March. Two weeks ago, Xerox CEO John Vistentin said that Xerox would postpone all presentations and meetings with HP shareholders “out of caution” due to the coronavirus, Reuters reports.