Activist investor Starteepo demands Xerox review financing unit

ManagementCorporate Action

โดย Investing.com·

Summary · why it matters

Activist investor Starteepo, which has built a 7.34% stake in Xerox, is pressing the company to conduct a formal strategic review of its financial services division, according to Bloomberg News. The Prague-based investment manager, led by Frantisek Bostl, argues that the financing unit alone could be worth up to $7.69 per share, more than double Xerox's total market value. Starteepo is urging Xerox to separately disclose the unit's financials and outline a clear operational strategy by its third-quarter earnings report, and to retain advisers to evaluate options including joint ventures, strategic capital partnerships, or a sale. The activist projects these changes could push Xerox's equity value to $3.3 billion, or over $18 per share, and cites similar frameworks used by HP and General Electric. Xerox shares rose 1.8% in premarket trading following the report, after a 13% decline over the past year reduced its market capitalization to roughly $418 million.

Xerox Corp ▲