Xerox to acquire Global Imaging Systems

Xerox to acquire Global Imaging Systems

US based tech company Xerox has said that they are acquiring Global Imaging Systems Inc. for about $1.5 billion. This acquisition would help them gain a lot of small companies as customers.

As part of the deal, Global Imaging investors will receive $29 a share in cash. Incidentally, the price Xerox is paying is 49 percent more than the $19.50 closing price on March 30.

Xerox added in its statement that the purchase will add to 2007 earnings. The company also expects to gain around 200,000 new customers in the U.S.

Global Imaging Systems generated $1.03 billion in sales last year. Xerox is also expected to gain from this acquisition as the demand for demand for services and supplies would increase.

Global Imaging would also then start selling Xerox products through its 21 regional companies.