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Xerox’s 2009 Agreement to Buy ACS: What the Deal Involved

Xerox announced its agreement to acquire Affiliated Computer Services in September 2009 for about $6.4 billion, then reported closing the deal in February 2010.
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Xerox announced an agreement on September 28, 2009, to acquire Affiliated Computer Services (ACS), a business-process-outsourcing company, in a cash-and-stock transaction Xerox valued at about $6.4 billion. Xerox reported completing the acquisition on February 8, 2010, so the announcement became a closed deal.

What Xerox agreed to buy

ACS provided business-process-outsourcing services: it managed and automated work for commercial and government organizations. Xerox’s 2010 closing announcement described ACS’s services as data processing, human-resources benefits management, finance support and customer relationship management. These are period descriptions of the company; the available transaction records do not establish the present ownership or service lineup of successor operations. Xerox’s closing announcement

At the time of the deal announcement, Xerox cited ACS examples including processing more than one million credit-card applications a year, handling more than one million calls a day across 140 customer-care centers, and processing toll collections and Medicaid claims. These were company-reported examples in 2009, not independently audited measures established here. Xerox’s 2009 announcement

How much the transaction was worth

Xerox announced a value of $63.11 per ACS share, or approximately $6.4 billion in total. That aggregate estimate used Xerox’s closing share price on September 25, 2009; it was Xerox’s announced transaction valuation, not a current or independently calculated figure. Xerox’s filing described the consideration as $18.60 in cash plus 4.935 Xerox shares for each ACS share, alongside assumption of ACS debt and preferred-stock terms. Xerox’s announcement

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Why Xerox said it wanted ACS

Xerox presented the acquisition as a way to combine its document technology and services with ACS’s ability to manage and automate work processes. Its stated ambition was to grow beyond a document-centered business into a broader document and business-process-management enterprise. These were Xerox’s strategic aims, not independently verified outcomes.

At the announcement, Xerox chief executive Ursula M. Burns described the combination this way: “By combining Xerox’s strengths in document technology with ACS’s expertise in managing and automating work processes, we’re creating a new class of solution provider.” The statement reflects Xerox’s framing of the deal at the time.

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What the companies reported about ACS before the acquisition

Xerox’s September 2009 announcement reported ACS fiscal 2009 revenue of $6.5 billion, revenue growth of 6 percent, and $1 billion in new annual recurring revenue signings. These are historical company-reported figures included as deal context, not current market data or independent statistics. Xerox’s 2009 announcement

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When the deal closed

Xerox announced the definitive agreement on September 28, 2009, and reported that it completed the acquisition on February 8, 2010. The closing announcement confirms that the transaction moved beyond a proposed purchase. Xerox’s completion announcement

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  • VIBRANT PRINT QUALITY: Produce sharp text and brilliant color graphics. Ensure your business documents, presentations, and reports look professional and impressive every time.
  • WIRELESS & MOBILE PRINTING: Stay connected with built-in Wi-Fi, Apple AirPrint, and Mopria. Effortlessly print and scan to the cloud from your laptop, smartphone, or tablet.
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