News - 2016052004 - Philips to Sell Stakes in its Lighting Unit IPO Worth US$950M
Dutch electronics giant Koninklijke Philips N.V. confirmed earlier this week that it plans to sell off shares of its lighting unit, which could help raise anywhere between US$784.8 million to US$954.5 million, reports said.
According to the company's press release, the final offer is set to be announced May, with unconditional trading in the shares on Euronext Amsterdam set to start May 31. 26.
The selling of its stakes would mean 25 percent of the business, and sources from the international media said the lighting unit IPO could generate US$950 million in revenue.
According to press reports, the Dutch firm had dug into the possibility of selling the business but struggled to find a buyer.
The company's lighting business dates back to 125 years old, and the downsizing plan is part of its strategy to deviate its attention to more profitable areas, such as the burgeoning healthcare sector, reports said.