TOKYO -- The deal announced Tuesday between Fujifilm Holdings and Xerox Holdings ends a nearly two-year dispute, giving both the Japanese company and the leadership at its U.S. partner, installed by activist investors Carl Icahn and Darwin Deason, a needed face-saving end to their unproductive battle.
Fujifilm expects the deal, under which it will buy out Xerox's 25% stake in joint venture Fuji Xerox and turn it into a wholly owned subsidiary, to lift annual group net profit by around $184 million a year. It anticipates a boost of at least $460 million to annual operating profit by fiscal 2024 via increased sales and cost synergies from consolidation.
