Most of CSG Limited’s (ASX:CSV) shareholders are backing Fuji Xerox’s acquisition of the former, with the ASX releasing a statement that 232 (88.89 per cent) of shareholders have voted in favour of the move with just 29 shareholders (11.11 per cent) against the proposal.
“CSG Limited is pleased to advise that the Scheme Resolution has been passed by shareholders at the meeting held today,” the statement read.
As per the lodgement, Fuji Xerox Asia Pacific will acquire 100 per cent of the shares in CSG for $0.31 per share.
Fujifilm Holdings subsidiaries, Fuji Xerox Australia and Fuji Xerox Asia Pacific, first entered into an agreement with CSG to propose acquisition of the latter for $140.8 million in October last year.
Under the agreement, Fuji Xerox Asia Pacific proposed to acquire all shares of CSG by way of Scheme of Arrangement under Australian law.
According to Fuji Xerox Australia managing director Takayuki Togo, the acquisition reflects the company’s desire to deliver growth and expand its customer base into Australia’s SMB sector.
“This delivers on our strategy to broaden the Fuji Xerox offer to a diverse range of organisations across various businesses with the addition of relevant software, solutions and services that customers are now demanding from print and document providers,” Togo said previously.
“It is important our customers are in a position to rely on us to address their biggest business challenges, keep them competitive and enable them to focus on their core business.
“About 90 per cent of the companies in Australia and New Zealand are SMBs and this acquisition allows Fuji Xerox to reach those customers with its… solutions. SMB customers will now be able to increase access to services and products to enable their businesses to thrive by leveraging the expertise of Fuji Xerox in printing and imaging.”
CSG acting CEO and managing director Mark Bayliss told Sprinter that this is “a fabulous move”, especially for its stakeholders as they’re getting shares at a premium.
“As it is happening in many industries around the world, consolidation will continue. Businesses have changed so much as a result of disruptive technologies so we’re proud that we have advanced technologies in our offerings that we bring to customers early,” he said.
“If you want to be successful in the future, you have to constantly listen to your customers, look at what’s happening in the market and adapt. If you don’t you’ve only got yourself to blame because you should have done it in the first place.
“Things change and the strong and the smart continue to be ahead of the curve.”
Following the shareholder support, the Supreme Court of NSW has made orders approving the scheme of arrangement between CSG and its shareholders.
CSG has also lodged with the Australian Securities and Investments Commission (ASIC) the orders of the Supreme Court of NSW approving the scheme of arrangement between CSG and its shareholders.
The record date for determining the entitlements of CSG’s shareholders to the scheme is 7pm on 12 February.
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