Tuesday, May 3, 2016 - 08:52
Philips Lighting division to be spun off with IPO
Philips' Lighting division is heading to the stock exchange in Amsterdam, the electronics company announced on Tuesday. Philips wants to give its complete attention to health technology and is therefore splitting from the lighting division, ANP reports. At least a quarter of the Lighting shares will be offered to institutional investors and private individuals. Philips will initially keep the majority of the shares, but completely phase them out in the coming years. Philips Lighting, headquartered in Eindhoven, posted a revenue of 7.5 billion euros last year. The company expects to be able to give shareholders an annual dividend of between 40 and 50 percent of the net profit. The first payout is expected in 2017, based on the 2016 results. Eric Rondolat will remain the CEO of Philips Lighting and all products will keep the Philips logo. Philips CEO Frans van Houten called this a "historic" decision for the group. He believes that the IPO will strengthen Lighting's position in the field of modern lighting.