As part of a cost-cutting package that it hopes will save 50 billion yen ($460 million), Fujifilm announced "personnel reductions of 10,000 people domestically and overseas" at Fuji Xerox. Fujifilm is due to hold a news conference at 5 p.m. (0800 GMT). Fujifilm will then use those proceeds to purchase 50.1% of new Xerox shares. The combined company will go to market and maintain the "Xerox" and "Fuji Xerox" brands within its respective operating regions.
Xerox has been under pressure from investors to re-invent itself and develop new strategies and products.
The new Fuji Xerox will also have significant revenue synergy opportunities over time as it capitalizes on its global reach, industry-leading scale and enhanced innovation capabilities. Such a deal would break with the Japanese company's strategy of branching into new areas such as pharmaceuticals and cosmetics to cushion the decline of its photo film sales.
Fujifilm shares closed 8.32% down in Toyko Wednesday, at ¥4,190.
Xerox and Fujifilm have announced they have entered into an agreement to combine the two firms.
The healthcare industry shuddered Tuesday following the announcement that Amazon, Berkshire Hathaway and JPMorgan Chase plan to form a new company that will attempt to lower healthcare costs for their hundreds of thousands of employees across the USA, the Wall Street Journal reports.
Swatting at mosquitoes won't be pointless in any case
It also could help prevent the transmission of certain infectious diseases, Lahondere said to USA Today. A mosquito flies on the end of a tether during an experiment to study responses to a swat-like shock.
Jacobson will serve as CEO of the "new" Fuji Xerox.
Under the terms of the agreement, Xerox shareholders will receive a US$2.5bn (€2bn) special cash dividend, or approximately US$9.80 (€7.87) per share. The company also came under scrutiny past year after a panel of outside experts discovered improper accounting practices at two of its subsidiaries in New Zealand and Australia, dating back to 2010.
The takeover deal comes less than a year after Fujifilm admitted improper accounting standards at Fuji Xerox, but Komori said that Xerox's strong governance standards could be beneficial to the new company.
Bloomberg reports that the joint venture will eliminate 10,000 jobs globally.
For fiscal 2018, Xerox forecast reported earnings from continuing operations of USD2.30 to USD2.50 per share and adjusted earnings per share of USD3.50 to USD3.70.