Scitex Exploring Options for Scitex Digital Printing, Sale Possible
Press release from the issuing company
November 4, 2003 -- (WhatTheyThink.com) -- Scitex Corporation confirmed yesterday that the company is reviewing strategic alternatives including a sale of its wholly-owned subsidiary Scitex Digital Printing, Inc. headquartered in Dayton, Ohio. Goldman Sachs is assisting Scitex in this review.
Earlier on Monday, Scitex reported a third quarter profit, an improvement over a loss last year in the third quarter. The company reported a 24% increase in revenue. The digital printing unit increased sales by 29% to $44.9 million in the quarter. (See related item in today’s news listing.)
TheMarker.com, a financial news service, stated that Xerox is one of the potential buyers. The news service stated that the price tag was somewhere around $260 million. This price values the whole of Scitex at $6 a share according to TheMarker.com.
Shares of Scitex reached a 52-week high of $4.90 earlier Monday on six times the stock’s normal daily volume.
WhatTheyThink.com was unable to reach Scitex CEO Homi Shamir at press time. He denied reports that the unit was up for sale to Oce N.V. in an interview with Globes, an Israel- based publisher of business newspapers and Web sites.
Karin Stroh, a spokeswoman for Xerox, told the Dayton Daily News that Xerox does not "comment on rumours, because that's what it is right now."
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