NEWS EXTRA
Xerox to acquire Lexmark
Xerox has agreed to acquire Lexmark in a deal worth more than £1 billion, with the hope that combining the two manufacturers will help build a broader print and MPS business.
In major news for the global print industry, in December 2024, Xerox Holdings Corporation announced it has agreed to acquire Lexmark International, Inc., from Ninestar Corporation, PAG Asia Capital and Shanghai Shouda Investment Centre in a $1.5 billion (£1.21 billion) deal. Xerox says the rationale for the acquisition is to strengthen the Xerox core print portfolio and build a broader global print and managed print services business better suited to meet the evolving needs of clients in the hybrid workplace. Commitment to advancing print industry “Our acquisition of Lexmark will bring together two industry-leading companies with shared values, complementary strengths, and a deep commitment to advancing the print industry to create one stronger organisation,” said Steve Bandrowczak, chief executive officer at Xerox. “By combining our capabilities, we will be better positioned to drive long- term profitable growth and serve our clients, furthering our Reinvention.” Lexmark is a provider of innovative imaging solutions and technologies including a best-in-class line of printers and multifunction printers. By combining Lexmark’s solutions with Xerox® ConnectKey® technology and advanced Print and Digital Services, the acquisition will create a superior offering portfolio and underscores Xerox commitment to increasing value for clients and partners. The transaction will also strengthen Xerox’s ability to serve clients in the large, growing A4 colour market and
diversify its distribution and geographic presence, including the APAC region. The new organisation will serve more than 200,000 clients in 170 countries with 125 manufacturing and distribution facilities in 16 countries. Combined, Lexmark and Xerox have a top five global share in each of the entry, mid and production print markets and are key players in the large, stable managed print services market. “Lexmark has a proud history of serving our customers with world-class technology, solutions and services, and we are excited to join Xerox and expand our reach with shared talent and a stronger portfolio of offerings,” said Allen Waugerman, Lexmark president and chief executive officer. “Lexmark and Xerox are two great companies that together will be even greater.” Steve added: "Our shared values and vision are expected to streamline operations and drive efficiencies, taking the best of both companies to make it easier to do business with Xerox.” Deal rationale There are several reasons behind the deal, which Xerox outlined as: l Strategic fit: Xerox and Lexmark have complementary sets of operations, offering strengths and
Steve Bandrowczak chief executive officer
www.xerox.com
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By combining our capabilities, we will be better positioned to drive long-term profitable growth and serve our clients, furthering our Reinvention.
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