Xerox to drop hostile takeover bid for HP.

Xerox, an American global corporation that sells print and digital document products and services, offered to acquire HP, an American multinational information technology company headquartered in Palo Alto, California, for $35bn. "A combination between us is supported by strong industrial logic given our respective strengths in the A3 and A4 markets, complementary footprint, deep cultural fit and shared DNA of innovation. Our combined scale, product portfolio and global reach would allow us to compete effectively in the Production, Large Enterprise and SMB segments, while offering a truly differentiated Managed Services capability. It is difficult to conceive of a strategic alternative for either company that delivers superior value," John Visentin, Xerox Vice Chairman and CEO. The board of directors of HP unanimously rejected Xerox's $33.5bn acquisition offer, saying it “significantly” undervaluing the personal computer maker. Xerox raised its offer to buy HP to $24 per share from $22 per share.