Philips has announced this Monday that Exor, the holding company of the Italian Agnelli family, historical owners of Fiat, has acquired a 15% stake in the Dutch group, for an amount of 2,600 million euros, the Italian company reported.
Following an agreement between the companies, “Exor has purchased a 15% stake in Philips,” becoming a “long-term minority investor,” the Dutch medical equipment maker said in a statement.
A transaction of 2,600 million euros
The talks between Exor and Philips began against the background of Exor’s “stated interest in increasing its presence in the healthcare and technology sectors,” according to Philips. Exor told AFP that the transaction was for 2.6 billion “at market price.” Discussions began “at the end of 2022” and a first purchase of 2.9% was made in January 2023 following the presentation of Philips’ strategic plan. This investment sees Exor appoint a member of Philips’ supervisory board, the Dutchman said.
“Exor’s substantial investment underscores its confidence in Philips’ transformation into a healthcare technology company and its potential for growth and value,” said Feike Sijbesma, Chairman of Philips’ supervisory board. Exor’s investment will not result in any share dilution and was made through share market purchases and an agreement with a major financial institution, Philips added.
“They have a successful track record and a clear strategy to grow and expand in healthcare and technology,” he added. The agreement also provides for Exor, “at its discretion, to increase its holding up to a maximum limit of 20% of the outstanding ordinary share capital of Philips.”
stock market jump
The Dutch group assured during a conference call for analysts and journalists that Exor had no further information about ongoing lawsuits and investigations in the United States, after the group was forced to call back in June 2021 on respiratory devices for people with sleeping problems.
Users risked inhaling or swallowing pieces of toxic sound-deadening foam that could cause irritation and headaches. The group then also mentioned a “potential” long-term cancer risk. This case plunged the Dutch group into the red last year and caused the loss of thousands of jobs.
Meanwhile, the company claimed in May that tests covering the majority of registered ventilators are “unlikely” to harm patients, while stressing that global regulators would have the final say.
The announcement of this 15% stake by Exor was rewarded by investors: Listed on the Amsterdam Stock Exchange, Philips shares gained 4.62% at 19:34 shortly after the open around 09:20 (7:20 GMT), on a slightly lower AEX index. .
Source: BFM TV
