HP Inc. said on Wednesday that Xerox securing financing for its $33.5 billion takeover offer for the personal computer maker is not a basis for a discussion and reiterated that the proposal still undervalues the company.
The U.S.-based printer maker had said on Monday it secured $24 billion in financing for the proposal, a deal that HP is opposing.
"Your letter dated January 6, 2020, regarding financing does not address the key issue that Xerox's proposal significantly undervalues HP and is not a basis for discussion," the company said in a letter to Xerox on Wednesday.
Xerox had offered HP shareholders $22 per share, involving $17 in cash and 0.137 Xerox share for each HP share, according to a Nov. 5, 2019 letter.
HP had said in November it was open to exploring a bid for Xerox, stating that it recognizes the potential benefits of consolidation.
Billionaire investor Carl Icahn, who has a 4.2% stake in HP and a 10.9% stake in Xerox, and has been pushing for a merger, was not immediately available for comment.
Xerox was also not immediately available to comment on the letter.