Xerox Corp. announced that it has agreed to buy back all the shares of its common stock owned by Carl Icahn, the company’s largest shareholder, and his affiliates for $15.84 per share, or about $542 million in total.
The deal will end Icahn’s involvement in Xerox, which he helped to fend off a hostile takeover bid from Fujifilm in 2018.
The repurchase will be funded by a new debt facility, according to a press release from Xerox. As part of the transaction, three directors appointed by Icahn will resign from the board, and Scott Letier, an independent director, will become the new chairman.
Xerox CEO Steve Bandrowczak said that the repurchase reflects the confidence in the company’s business, strategy and profitability. Carl Icahn praised Xerox for its resilience and performance, and said he will continue to support the company as a former shareholder.
The transaction is expected to be completed this week, subject to customary closing conditions.
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