Philips Lighting ready to shine with IPO worth up to £665m

William Turvill
Follow William
Lightbulb Production At Philips
Philips Lighting could be valued at up to €3.38bn (Source: Getty)
hilips today announced it expects to raise up to €844m (£665m) with an initial public offering (IPO) of its lighting division.

The Dutch electronics company expects to sell 37.5m, or 25 per cent, of Philips Lighting shares at between €18.50 and €22.50.

This would give the division a market capitalisation of between €2.78bn and €3.38bn.

Read more: Ding dong: Energy company set to announce plan for £8.5bn IPO

The final offer price on the flotation is due to be announced on 26 May and trading on Euronext Amsterdam is expected to begin on 31 May.

Frans van Houten, chief executive of Royal Philips, said today’s announcement indicated “that the process is well on track”.

He added: “I am convinced that as separately listed companies, Royal Philips and Philips Lighting will be even better equipped to focus on innovation, entrepreneurship and long-term value-creating growth opportunities.”

Read more: IPOh yeah! Signs of life in London's flotation market

Philips Lighting chief executive Eric Rondolat said: “The interest we have received from the investor community in Philips Lighting is very encouraging.

"As a standalone, listed company we will be committed to further expanding our global market-leading position in the general lighting market, driving the transition to LED and connected lighting systems and services, and delivering on our financial outlook.

“With a strong cash flow generation, we believe we present a solid investment case.”

Related articles