The stock dropped another 9% to $1.52 on Friday, compounding losses from a Thursday sell-off triggered by the company's weak financial report. Xerox disclosed a wider quarterly loss and shrinking free cash flow, forcing management to slash its full-year guidance. While the firm concurrently announced a debt exchange to manage $174 million in senior notes and suspended dividend payments, investors remain unconvinced that these measures go far enough.

Starteepo views these steps as insufficient, insisting that the board must aggressively explore a sale of the Xerox Financial Services unit or a complete divestiture of the business. The fund maintains that a bold strategic pivot could push the stock toward an $18 valuation, a target they claim will vanish if leadership fails to act decisively. Starteepo signaled it will now escalate its engagement with management to force a more aggressive deleveraging strategy and operational overhaul.