Fuji Xerox acquires CSG
October 24, 2019
CSG and Fuji Xerox announced the proposed acquisition, which will happen under a Scheme Implementation Deed.
The announcement made by the two companies states that the companies will enter into a Scheme Implementation Deed under which Fuji Xerox Asia Pacific will acquire 100 percent of the shares in CSG by way of a Scheme of Arrangement.
The acquisition will see Fuji Xerox Asia Pacific purchase CSG shares to the value of AU$140.8 million ($96.13 million/ €86.38 million) out of its existing cash on balance sheet. The proposed deal is still subject to shareholder approvals but CSG’s largest shareholder, Caledonia (private) Investment Pty Limited, who owns 29.1 percent of its shares, has indicated it will vote in favour of the Scheme.
CSG Chairman Bernie Campbell said: “CSG is the ideal strategic fit for Fuji Xerox’s global business with our expertise in IT managed services and office solutions for the SME sector in Australia and New Zealand complementing Fuji Xerox’s leading print and technology operations.
“The all-cash offer is attractive for shareholders and reflects the positive impact of the transformation achieved to date as part of our 2021 strategy. Our more than 10,000 SME customers across Australia and New Zealand will benefit from our long-term integration with Fuji Xerox through increased scale broader product and service capability.
“The Scheme provides certainty for our shareholders to realize value at a significant premium. It will also provide growth opportunities for our 670 employees within a global and culturally aligned business.”
Through this acquisition Fuji Xerox aims to further expand business operations in relation to SMEs in Australia and New Zealand. Fuji Xerox believes that the combination of CSG with its Asia-Pacific business allows it to strengthen its presence in providing IT print device and managed print solutions, and to grow its technology product and service offerings to the SMEs in both Australia and New Zealand.
Fuji Xerox President and Representative Director, Kouchi Tamai said: “Fuji Xerox has a long history of providing best-in-class print and document management solutions to its customers in Australia and New Zealand. The combination of Fuji Xerox and CSG represents an exciting opportunity for our stakeholders, employees and business partners, as well as enhancing the products and services available to help customers navigate their evolving technology needs.”
Founded in 1988, CSG is a publicly listed ASX company with a 30-year history of providing print and business technology solutions in Australia and New Zealand, supported by an in-house equipment financing business. CSG has a national sales and service footprint in both countries concentrating on SME customers.
CSG provides print and display solutions, managed information technology, desktop, cloud-unified communications and contact centre solutions.
CSG Acting CEO & Managing Director Mark Bayliss said: “The Scheme represents an outstanding outcome for all CSG stakeholders: shareholders, employees, around 10,000 customers and other business partners. The opportunity to realise certain value at a significant premium represents a great outcome for our shareholders, who have been supportive over the company’s recent period of strategic transformation.
“Fuji Xerox’s globally leading print and technology platform coupled with industry expertise and experience will enable CSG to drive growth for our customers and employees.”
Subject to shareholders approval the implementation date is expected to be February 2020.
Categories : City News
Tags : Acquisition CSG Fuji Xerox
