Xerox' past 2 decades have been a roller coaster culminating in the 2016 raid by activist investors Carl Icahn and Darwin Deason which stymied a USD$6billion takeover by Fujifilm. Efforts were made to turn the company around but Icahn sold out in 2023, having lost an estimated 42% of his investment. Since then the stock price has continued to head South.
Xerox share price peaked at USD$145 in 1999, last close was $10.49 (2000 plummet was as a result of an SEC investigation relating to losses at its Mexican division)
Few organisations have changed the way the world does business as much as Xerox. The PC, laser printer, mouse, GUI, PDLs, Ethernet – the list of innovations out of Xerox’ famed Palo Alto Research Centre is extensive and the company’s copier and printer success enabled it’s brand to become a verb – to ‘Xerox’ is to copy a document. But the past decade has seen the imaging giant gradually shrink in both market size and, sad to say, reputation.
The latest down-sizing is the the sale of its A4/A3 paper business to Antalis. Xerox was once the world’s largest supplier of cut-sheet paper for copying and printing.
Antalis, a leading global distributor of paper, packaging, and visual communication solutions, has announced the acquisition of the remaining portion of Xerox’s paper business in the Europe, Middle East, and Africa (EMEA) region. This strategic move solidifies Antalis’ position as the exclusive distributor of Xerox-branded papers in EMEA.
The acquisition encompasses 40 countries, including Eastern Europe, the Balkans, Africa, India, and the Middle East. Antalis will gain exclusive marketing and distribution rights for Xerox digital printing media and office papers, expanding its product portfolio and strengthening its market presence.
Hervé Poncin, CEO of Antalis, expressed his enthusiasm for the acquisition, stating, “This strategic move aligns with our ongoing 
Antalis CEO Hervé Poncinefforts to consolidate the papers distribution business and maintain a strong position in high-potential markets. By expanding our relationship with Xerox, we are reinforcing our commitment to offering our customers the highest quality products and services.”
The acquisition is subject to customary closing conditions and approval from relevant competition authorities in certain countries. While the financial terms of the deal were not disclosed, it is expected to significantly enhance Antalis’ revenue and profitability.
Xerox, which has been undergoing a strategic transformation, has been divesting its paper business in various global markets. A company’s spokesperson commented: “This transaction is a part of our ongoing Reinvention plan, which aims to simplify our business and better serve the evolving needs of our clients. We are confident that Antalis will continue to provide excellent service and support to our customers in the EMEA region.”
In Asia-Pacific and Oceania, Xerox famously exited direct activity by selling its remailing 25% stake in FujiXerox back to Fujifilm for USD$2.3 billion in 2019, following the abortive take-over saga where Fujifilm’s offer calued Xerox shares at USD$39 each. Closing price last week on the NASDAQ in New York was a tad above $10.
Where to now for Xerox? It has sold off divisions (Conduent, its 3D business, Paper, ceased manufacturing production presses...) It's anyone's guess but the company still returns good divitends and is an A-list brand. Private equity funds must be looking at it and pondering "Hmmmmm"?
