It’s Official: Lexmark Acquired by Apex and Investors; Reeder Named CEO
Lexmark International today reported that its acquisition by Apex Technology and a consortium of investors that include PAG Asia Capital and Legend Capital Management has been completed.
Under the terms of the merger agreement, which was announced on April 19, 2016, Lexmark shareholders will receive $40.50 per share in cash.
The completion of the transaction follows all necessary approvals, including approval by Lexmark shareholders, regulatory approvals in the United States, including approval by the Committee on Foreign Investment in the United States, in China and other foreign jurisdictions, and other customary closing conditions.
Apex and investors will maintain Lexmark’s corporate headquarters in Lexington, Kentucky. David Reeder, formerly Lexmark vice president and chief financial officer, has been named the company’s new president and chief executive officer, succeeding Paul Rooke.
Lexmark’s Enterprise Software group will be separated from Lexmark and rebranded as Kofax. The Apex and investors, as well as Lexmark, state that they will focus on growing the imaging business, particularly in China and the Asia-Pacific region.
Lexmark common stock (NYSE: LXK) has ceased trading on the New York Stock Exchange.
Paul Rooke, Lexmark’s former chairman and chief executive officer stated: “We are excited to have completed the transaction, which provides significant cash value to our shareholders, benefits our customers and provides new opportunities for our employees.”
Rooke continued: “I have had 25 fantastic years at Lexmark, the last six as chairman and chief executive officer. As the company enters its next phase, it is time for the next generation of leadership to continue the work to ensure Lexmark’s industry leadership.”
“I’m incredibly excited about Lexmark’s future,” stated David Reeder, Lexmark’s new president and chief executive officer. “Lexmark has employees across the globe who are truly passionate about technology and helping customers better manage their imaging and output needs.
“We are now uniquely positioned to grow the company in China and greater Asia, along with continuing to deliver industry-leading products and services to customers in other regions of the world. I’m honored to lead Lexmark into its next phase of opportunities and growth,” Reeder added.
- October 2016: Revenues Flat for Lexmark as Apex Technology Acquisition on the HorizonOctober 2016: Committee on Foreign Investment in the U.S. Clears Lexmark Sale to Apex
- September 2016: Apex Rumoured to be Considering Selling Lexmark’s Software Division
- August 2016: Loss for Lexmark’s Second Quarter, But Sharp Revenue Increase for Enterprise Services Group
- July 2016: Lexmark Employees Warn of 45-Percent Workforce Reduction, APEX to ‘Absorb Lexmark R&D, Shift Operations to China’
- July 2016: Lexmark Shareholders Approve Acquisition by Apex Technology and PAG Asia Capital
- May 2016: Lexmark Employees Seek to Block Apex Acquisition, Citing Chinese-Hacking Concerns