Xerox to Seek Support from HP Shareholders

U.S. printer maker Xerox Holdings Corp is hosting a dinner for HP Inc shareholders this week as it seeks investor support to overcome the personal computer maker’s resistance to its $35 billion takeover bid, according to people familiar with the matter.

The charm offensive comes after Xerox raised its cash-and-stock bid for HP last week by $2 to $24 per share ahead of a tender offer it plans to launch in early March. It is also asking HP shareholders to replace HP’s board directors with Xerox’s nominees at the company’s annual shareholder meeting later this year.

HP, whose shares ended on Friday at $22.37, is expected to dismiss the sweetened offer as inadequate when it unveils its most recent quarterly earnings on Feb. 24. It told investors last week it wants them to have “full information” on the company before responding publicly to Xerox.

Xerox has invited some HP shareholders to a dinner at a restaurant in the Riverside neighborhood of Greenwich, Connecticut on Feb. 18, the sources said. Xerox CEO John Visentin is expected to attend, one of the sources added.

Enough HP shareholders backing HP CEO Enrique Lores could embolden the company to remain independent or hold out for a better deal.

Other such meetings are possible in the coming days, said another of the sources, who asked not to be identified because the meeting is confidential.


Related Readings:

HP Takes Weeks To Answer Xerox Bid

Xerox Makes Hostile Bid for HP Shares

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