Outsourcing firm Conduent fields buyout interest, sources say

CONDUENT

07/02/2025 20:56

(Adds share move)
    By Milana Vinn
       NEW YORK, Feb 7 (Reuters) - Conduent  CNDT.O , a
business processing outsourcing firm that was spun out of Xerox
 XRX.O , is exploring a sale after receiving acquisition
interest, people familiar with the matter told Reuters on
Friday. 
    The Florham, New Jersey-based company is working with a
financial adviser on its talks with potential acquirers, which
include private equity firms, the sources said, requesting
anonymity as the discussions are confidential.
    If the talks are successful, a deal could be signed in the
coming weeks, the sources said. Conduent's shares jumped more
than 24% on the news on Friday, hitting a 52-week high before
paring some gains, giving it a market value of more than $700
million. 
    Conduent did not immediately respond to requests for
comment. 
    The company was spun off from Xerox in 2016. At the time
activist investor Carl Icahn, who took a stake in Conduent,
received three board seats at the company. Last year, Conduent
bought back Icahn's stake in the company. 
    Conduent is a provider of business services that cater to
sectors including commercial, government, and transportation. It
has contracts with federal and state government agencies,
including the U.S. Secret Service.  
    The company's technology offerings leverage cloud computing,
automation, artificial intelligence, and machine learning, and
help enterprise customers with functions including human
resources, cost-cutting, and the processing of payments. 
    Since becoming an independent company, Conduent has
struggled to compete against larger outsourcing services
providers. Till Thursday's close, the company shed nearly
three-quarters of its value from the time its shares started
trading in January 2017. 
    The company is scheduled to report fourth-quarter earnings
on Feb. 12. 

 (Reporting by Milana Vinn in New York
Editing by Nick Zieminski)
 ((Anirban.Sen@thomsonreuters.com; Twitter: @asenjourno; Reuters
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