Philips reconsider spin-off lighting department Next year the IPO

Wall Street journal, the Dutch electronics group, Philips (Philips) said on Thursday that the plan will be its lighting division, and in the next year stock initial public offering (IPO).

Philips, said its lighting division, also look at other options, but at the moment, is expected to IPO in the first half of next year, depending on market conditions and other relevant information.

Philips said in a notice to shareholders, the beginning may only sell a minority stake in the lighting business, long-term goal is to completely unwind, and any sale proceeds will invest in the health care department of science and technology.

Philips did not disclose the hope from any IPO or sale to raise to how many money, but said the split will make 2 companies can strengthen the focus on its own operations, make philips more heavily on health care equipment and consumer lifestyle products.

Philips said on Thursday that its lighting operation, including all the business activities, assets and liabilities, will be transformed into a separate holding company structure. But plans to split out the lighting operation, will not include automotive lighting and Lumileds (LED components) operations. Philips will be on May 7th annual general meeting of shareholders vote on the split the bill.

Investment institutions Kepler bernd laux, an analyst at the European lu's (Peter Olofsen), said philips on Thursday, according to its may need a few more months to break up lighting division, highlights the complexity of the move. Philips previous calendar framework, meaning that its operating lighting will be in the first quarter of next year IPO.

Ou lu's stressed that in many countries, health care for the philips and lighting one "has a history of one hundred years or longer", in addition, how to split such as human resources, information technology about 500 million euros (RMB 3.302 billion) internal service costs, will affect their profits, will be another difficult problem.

Philips has in September last year, said it would split into two companies and has been applied to the segmentation of lighting business. And the segmentation, it is in after many profit warning shots and has been criticized for slow action after heavy enterprise structure, made the latest action.