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Xerox to Acquire ACS

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Document management firm Xerox Corp. has signed a definitive agreement to acquire Affiliated Computer Services Inc. for $6.4 billion in cash and stock.

Dallas-based ACS is a vendor of business process outsourcing services for managing paper and electronic information. The company also is a consultancy offering a range of services including information systems implementation. ACS, with $6.5 billion in revenue in fiscal 2009, generates 40% of its revenue from government agencies. It also has significant business in health care and serves several other industries.

Xerox is the third major technology firm in the past year to purchase a major business process outsource vendor. Hewlett-Packard in 2008 acquired Electronic Data Systems and Dell announced on Sept. 21 that it would buy Perot Systems Corp.

Xerox and ACS expect the acquisition to close during the first quarter of 2010. ACS will be branded “ACS, a Xerox Company.” Lynn Blodgett, president and CEO at ACS, will lead the unit.

This article can also be found at HealthDataManagement.com.

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