Hewlett-Packard Co. upshots are for sale in Shanghai, China, on Thursday, Nov. 12, 2009.
Qilai Shen | Bloomberg | Getty Images
Xerox is planning to make a cash-and-stock make for personal-computer and printer maker HP, the Wall Street Journal reported late Tuesday evening.
The company’s board debated the possibility on Tuesday, people familiar with the matter told the Journal, adding that Xerox has an informal meaning commitment from a major bank.
Xerox, which makes printers and copiers, has a market cap of $8.05 billion, paltry than a third of HP’s $27.27 billion market value.
Representatives from Xerox and HP were not immediately available to reciprocate to CNBC’s emailed requests for comments.
As both companies look to cut costs, sources told the Journal that blending the companies could save more than $2 billion in expenses.
Last month, HP said it will cut between 7,000 and 9,000 assigns by the end of fiscal 2022 as part of a broader restructuring plan that it estimates will save $1 billion a year. That commitment amount to almost 16% of its 55,000 employees worldwide, according to FactSet.
HP was created after Hewlett-Packard separated its ambition business — Hewlett Packard Enterprise — that sells data storage equipment, servers, and other related appointments.
Xerox said on Tuesday it will sell its 25% stake in Fuji Xerox, the joint venture between the firm and Japan’s Fujifilm, for $2.3 billion. Investor activism stopped a deal in 2018 that would’ve merged Xerox into Fuji Xerox and reality Fujifilm control, Reuters reported.
Read the Wall Street Journal’s story about Xerox’s ambitious downs to try and buy HP here.