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Xerox has completed the separation of Conduent Incorporated, creating two market-leading, publicly- traded companies.
“Today is an historic day for Xerox. The successful completion of the separation sharpens our market focus and commitment to our customers,” says Xerox CEO Jeff Jacobson. “I am confident the transformational actions we are implementing position Xerox for long-term success and unlocks shareholder value.”
Members of the company’s executive leadership team, employees and customers celebrated the milestone by ringing the opening bell at the New York Stock Exchange (NYSE) on 4 January 2017.
Xerox’s focus on growing its global leadership in digital print technology and services will help customers innovate how they communicate, connect and work more productively.
The company’s financial model and revitalized business strategy will enable strong free cash flow generation and margin expansion, as well as targeted investments in attractive growth areas, such as document outsourcing and solutions for small- and medium-sized businesses.
Under the terms of the separation, on the distribution date of 31 December 2016, Xerox shareholders received one share of Conduent common stock for every five shares of Xerox common stock they held as of the close of business on 15 December 2016, the record date for the distribution.
In connection with the spin-off, Xerox received a cash transfer from Conduent of $1,8-billion, which it intends to use, along with cash on hand, to retire approximately $2-billion in debt.