Fujitsu is reportedly selling its scanner business to Ricoh for $625 million
The Japanese IT services giant wants to focus more on software development
Fujitsu is reportedly planning to sell its scanner business to imaging and electronics company Ricoh for 80 billion yen ($625 million) in order to focus on software development.
The Japanese IT services company will sell an 80 percent stake in its wholly-owned subsidiary PFU, a maker of business scanners, as reported by Nike Asia. Ricoh plans to combine office equipment and imaging by integrating PFU’s products into a new service.
Fujitsu will focus on software development to respond to the strong demand for digitization of business processes such as teleworking.
The company has recently been successful in this area. In March 2022, it turned out that Fujitsu had received an award £250m deal from UK HMRC for Managed Desktop Services, which renewed a 2017 contract. In early April it was also awarded one £184m contract by the Foreign, Commonwealth, and Development Office to connect and communicate with 532 UK embassies.
The company continues to win business from the UK government despite its role in the Horizon scandal, in which Fujitsu’s software was used as evidence to successfully convict 736 postal workers of theft and false accounting between 2000 and 2014.
PFU has not released its 2021 earnings, although it reported 2020 net income of 3,952 million yen ($31 million). This was the lowest net profit in four years, after the previous year’s 6,029 million yen ($47 million).
The two companies are expected to make a formal decision on the deal by the end of the month and will also consider collaborating on digitizing office operations.
A Fujitsu spokesman admitted that the matter is being carefully considered, although no decisions have been made as yet. “Fujitsu will promptly announce matters that require disclosure as they arise,” they added.
Ricoh reiterated this with a spokesman saying no decision has been made at the moment, although the company is reviewing the matter.
Remote work has become increasingly important for Fujitsu, especially as it has done well 80,000 of his employees are permanently remote in 2020 and planned to reduce its office space by 50% as part of planning for a post-pandemic future. The company hoped to help employees enjoy unprecedented flexibility to improve their work-life balance.
© Dennis Publishing
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