Xerox acquires Lexington-based printer manufacturer Lexmark for $1.5 billion
Xerox Holdings Corporation announced Monday it would acquire the Lexington-based Lexmark International in a deal worth $1.5 billion.
The deal is expected to close in the second half of 2025, according to an announcement from the company. Until then, both Xerox and Lexmark will maintain their current operations and operate independently.
Lexmark is a Lexington-based manufacturer of laser printers and imaging products. The company has operated since March 1991, when the company was spun out of IBM. The global headquarters building on New Circle Road was built in 1954 to house IBM’s typewriter manufacturing operations.
“Our acquisition of Lexmark will bring together two industry-leading companies with shared values, complementary strengths, and a deep commitment to advancing the print industry to create one stronger organization,” said Steve Bandrowczak, chief executive officer at Xerox. “By combining our capabilities, we will be better positioned to drive long-term profitable growth and serve our clients, furthering our Reinvention.”
Lexmark employs 8,000 people worldwide, according to a Lexmark spokesperson. When asked about how the purchase would affect employee numbers, the company said they would examine how the combined organization is structured globally and identify areas where “operations can be streamlined.”
The new, combined company will serve more than 200,000 clients in 170 countries with 125 manufacturing and distribution facilities in 16 countries, according to a joint news release. Lexmark and Xerox are both in the top five global production market for print services.
The Xerox Board of Directors has unanimously approved the transaction. The transaction is subject to regulatory approvals, approval of shareholders for the investor group Ninestar, and other customary closing conditions.
“Lexmark has a proud history of serving our customers with world-class technology, solutions and services, and we are excited to join Xerox and expand our reach with shared talent and a stronger portfolio of offerings,” said Allen Waugerman, Lexmark president and chief executive officer. “Lexmark and Xerox are two great companies that together will be even greater.”
Lexmark purchased California-based Kofax Ltd. in 2015 for $1 billion. Lexmark has also previously acquired several other companies, including AccessVia of Seattle; Twistage of San Francisco; Pacsgear of Pleasanton, Calif.; Acuo Technologies of Minneapolis; Pallas Athena of the Netherlands; Saperion of Germany; ISYS Software of Australia, now called Perceptive Search; Brainware of Luxembourg; and Nolij Corp. of Beverly, Mass.
In 2016, Lexmark was sold to an investor group led by Apex Technology (now Ninestar Corporation).
This story was originally published December 23, 2024 at 9:52 AM.
