Philips Lighting: ex-parent company Philips sells shares.

(CercleFinance.com) - Philips Lighting said on Wednesday that it intends to repurchase 2.
8 million of its own shares from former parent company Royal Philips in a deal worth approximately 90 million euros.

The Eindhoven-based lighting maker said that the repurchase is part of a bigger accelerated bookbuild offering by Philips to institutional investors of 17.1 million shares at a price of 32 euros.

This sale - representing approximately 12% of Philips Lighting's share capital - should generate total proceeds of 547 million euros for Philips.

The transaction will reduce Royal Philips' stake in Philips Lighting from around 41% to 29%. After cancellation of the 2.8 million shares acquired by Philips Lighting, Philips' stake should reach 29.6%.

Philips has announced that following the transaction, it will no longer have control over Philips Lighting and will stop consolidating its former unit in its financial statements.

On Euronext Amsterdam, Philips shares were up 0.4% after the announcement, while the Philips Lighting stock was down almost 2%.

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