HPQ HP Inc

   By Maria Armental 
 

Xerox Holdings Corp.'s takeover offer for HP Inc. remains short in one critical respect: It "significantly undervalues HP -- and is not a basis for discussion," HP officials said Wednesday.

On Nov. 5, Xerox offered $17 in cash and a 0.137 Xerox share for each HP share. HP's stock closed that day at $18.40. It closed Wednesday at $20.93.

HP had rejected Xerox's cash-and-stock bid as too low and cast doubt as to whether Xerox would be able to raise the cash portion and whether the combined company could handle the amount of debt it would be left with.

On Monday, Xerox said Monday Citigroup Inc., Mizuho Financial Group Inc. and Bank of America Corp. had agreed to lend Xerox up to $24 billion.

Billionaire investor Carl Icahn has stakes in both companies and supports a combination.

Write to Maria Armental at maria.armental@wsj.com

(END) Dow Jones Newswires

January 08, 2020 19:34 ET (00:34 GMT)

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