Exor Acquires 15% Stake in Philips, Investing Over $2.8 Billion
Italian investment company Exor and Royal Philips have announced a new relationship agreement that will see Exor acquire a 15% stake in the Dutch health-technology company for an undisclosed sum. The investment is estimated to be worth around €2.58 billion ($2.82 billion).
Exor, which holds investments in various companies including Ferrari and Stellantis, stated that its decision to invest in Philips reflects its confidence in the company’s leadership, strategic direction, and potential for value creation. Moreover, the agreement grants Exor the right to nominate one member to Philips’ supervisory board.
As of Friday’s closing, Philips had a market capitalization of approximately €17.18 billion.
Exor emphasized its commitment to being a long-term minority investor in Philips. Although there are no immediate plans to purchase additional shares, the agreement allows Exor to increase its stake in the future, up to a maximum limit of 20% of Philips’ outstanding share capital.
The investment by Exor aligns well with Philips’ overall strategy and its increasing focus on healthcare and technology. Philips CEO Roy Jakobs expressed enthusiasm about Exor’s long-term outlook and their shared vision of substantial value creation.
Leave a Reply