Xerox Corp. is reportedly in talks with Japan’s Fujifilm Holdings Corp. on corporate strategies that may impact the future of the Norwalk-headquartered company.
The Wall Street Journal, citing unnamed “people familiar with the matter,” is reporting today that the companies could “potentially strike a major deal,” although Fujifilm’s takeover of Xerox is not being considered. It is unclear how long the talks have been going on. The unnamed sources reporting on this development have claimed no final deal is within sight.
The companies have worked together since the creation of the Fuji Xerox joint venture 55 years ago, which sells copiers and printers in the Asia-Pacific market and generates about $10 billion in annual sales.
The talks are taking place as Xerox deals with what The Wall Street Journal described as a “continued slump in sales and profit.” While the company has a market value of about $7.7 billion, it is carrying more than $4 billion of net debt. Furthermore, investor Carl Icahn, who owns a 9.7 percent stake in Xerox, cancelled an agreement with the company by removing his representative from its board of directors in order to campaign for more board seats.