Philips 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.
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.”
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.”