Multinational tech giant Fuji Xerox has completed its acquisition of printing and IT services provider CSG (ASX: CSV) via a $140 million scheme of arrangement.
Fuji Xerox, a joint venture partnership between Japan’s Fujifilm Holdings and US printing giant Xerox, executed the deal via its wholly-owned subsidiary Fuji Xerox Asia Pacific.
The US$10 billion company is aiming to further expand business operations relating to small and medium-sized businesses (SMBs) in Australia and New Zealand.
The deal was announced last October and was approved by CSG shareholders in early February, with 99.75% voting in favour of the scheme.
The Supreme Court of New South Wales also made orders approving the scheme, which were lodged with the Australian Securities and Investment Commission.
CSG’s shares were suspended from trading on 5 February, with the implementation of the scheme of arrangement made effective today.
CSG is expected to be removed from the ASX’s official list from the close of trading on 20 February.
Expanding Fuji Xerox’s customer range
Headquartered in Melbourne, CSG provides printing equipment and IT services for the offices of nearly 10,000 client companies in Australia and New Zealand.
The majority of its clientele are SMBs, while Fuji Xerox’s business is mainly derived from large enterprise customers.
According to a statement by Fuji Xerox, CSG was seen as “largely complementary”.
Given that around 90% of companies in Australia and New Zealand are SMBs, the acquisition is expected to “strengthen [Fuji Xerox’s] structure to serve a broader range of customers with optimal IT services and products”.
Following the acquisition, CSG will continue operating with the same company name but Fuji Xerox’s corporate vice president responsible for Australia/NZ regional operations, Ken Sugiyama, will become CSG’s new managing director.
Mr Sugiyama said CSG has a strong 30-year history of working closely with local SMB customers.
“CSG will hereon be able to provide those customers with innovative products and IT services owned by Fuji Xerox such as optimising the entire business operation processes,” he said.