Ashburn, Virginia-based DXC Technology, one of the D.C.-area’s largest employers, has ended talks about an unsolicited takeover offer from an unnamed source.
Last October, the company confirmed it was approached by a financial sponsor regarding a potential acquisition. DXC confirmed it held preliminary discussions and shared company information with the bidder.
“Due to the financial sponsor’s challenges in raising the necessary capital, as a result of current market conditions, no formal proposal was received by the company and DXC has terminated the discussions,” DXC said in a statement.
At the time of the announcement of the takeover offer in October, Bloomberg News reported it came from Hong Kong-based investment group Baring Private Equity Asia.
DXC has been both target of takeovers and an acquisition company itself. In 2021, it rejected an unsolicited takeover offer bid by French IT firm Atos SE, calling the offer inadequate. In 2019, DXC acquired Swiss-based technology firm Luxoft Holding Inc. for $2 billion.
DXC recently relocated its corporate headquarters from Tysons to One Loudoun. It was formed by the merger of Computer Sciences Corp. and Hewlett-Packard’s enterprise services business in 2017.
It has about 15,000 employees in the D.C. area and more than 134,000 worldwide. DXC had $16.3 billion in 2022 revenue. The company’s IT services include IT systems modernization.
More than 240 of its clients are Fortune 500 companies.