Philips Lighting IPO priced at €20.00 per ordinary share

Price per offered share is set at EUR 20.00, which implies a market capitalisation for Philips Lighting of EUR 3.0 billion and an enterprise valuation of about EUR 4.5 billion. The total number of shares that is offered is 37.5 million (which represents 25% of the shares, prior to exercise of the over‐allotment option). Total proceeds of the offering (before underwriting commissions and offering expenses) that will end up at Royal Philips will amount to EUR 750 million. Frans van Houten, CEO of Royal Philips: “I am pleased with the response of investors towards Philips Lighting and the successful pricing of the IPO. This strategic milestone will allow Royal Philips to focus on the fast‐growing health technology market. I am convinced that both Royal Philips and Philips Lighting will thrive as separate, listed companies, each focused on long‐term value‐creating growth opportunities.” Eric Rondolat, CEO of Philips Lighting: “I am excited about the level of interest from both institutional and retail investors, which underpins our belief that our investment case is solid, supported by strong cash flow generation. We welcome our new shareholders and thank them for their trust in our strategy. With their support, we look forward to further expanding our global market‐leading position by driving the transition to LED and connected lighting systems and services.” Following closing of the Offering and assuming full exercise of the over‐allotment option, Royal Philips will hold 71.25% of the Shares. Royal Philips aims to sell all of its remaining shares over the next several years as it will focus on its HealthTech businesses.