Conduent will be listed on the New York Stock Exchange (NYSE) after the split.
After the split of Xerox later this year, Conduent, which is the business process services company, “will trade on the New York Stock Exchange under the symbol CNDT” and Xerox will remain as XRX. The split is expected to be completed by the end of this year, and once separated, shareholders will “own stock in both companies”. For US federal income tax purposes, the dividends are intended be tax-free subject to the transaction receiving final approval from the board of directors for Xerox.
Revenue for Conduent in 2015 was $7 billion (€6 billion), and the company employs 93,000 people worldwide, which means that Conduent “will be a Fortune 500-scale business process services company with expertise in transaction-intensive processing, analytics and automation”.
Ashok Vemuri, CEO of Conduent, said: “Our separation into Xerox and Conduent will create two independent, Fortune 500-scale, publicly traded companies with distinct and compelling investment propositions and differentiated financial profiles, growth drivers and business prospects. The New York Stock Exchange has long provided the premiere venue for the world’s best companies to drive shareholder value. We believe this is the best exchange for each of these industry leaders to build its long-term shareholder base.”
Tom Farley, President of the NYSE Group, said: “We’re delighted to welcome Conduent to the NYSE’s community of esteemed companies and thank Xerox, an iconic global leader, for its continued listing since 1961. The NYSE is pleased to be the listing venue for Xerox and Conduent, and we look forward to delivering the superior market quality, global visibility and best-in-class issuer services that are associated with the NYSE’s proven model and value proposition.”