Exor raises stake cap in Royal Philips to 22% in updated agreement

THE NETHERLANDS—Royal Philips and Exor N.V. have agreed to update their long-term relationship agreement, giving Exor greater flexibility to increase its ownership of the global health technology company.

Under the revised agreement, Exor can raise its shareholding in Philips to up to 22% of the company’s issued ordinary share capital and voting rights, compared with the previous 20% limit.

Exor may increase its stake beyond 22% if it receives approval from the Philips Supervisory Board.

The updated agreement does not change the existing governance arrangements between the two companies.

Exor will retain its right to nominate one member of the Philips Supervisory Board.

Continued shareholder commitment

Feike Sijbesma, Chairman of the Supervisory Board of Royal Philips, said the revised agreement demonstrates Exor’s continued confidence in Philips and its long-term strategy.

He added that the Supervisory Board values Exor’s constructive engagement with the company and highlighted the continued contribution of Benoît Ribadeau-Dumas as Philips oversees its strategic direction.

Exor is Philips’ largest shareholder and has maintained a long-term relationship with the company.

The revised terms provide the investment firm with additional room to increase its ownership while maintaining the existing governance framework.

Support for Philips’ 2026–2028 plan

Roy Jakobs, CEO of Royal Philips, said the updated agreement reflects Exor’s support for the company’s strategy and its Board of Management as Philips implements its 2026–2028 plan.

According to Jakobs, the agreement also reflects Exor’s view of the plan’s potential to create value while supporting Philips’ focus on profitable growth.

Philips’ 2026–2028 plan centres on executing its strategy while strengthening growth and profitability.

The company continues to focus on health technology, with its portfolio spanning diagnostic imaging, image-guided therapy, monitoring, and other healthcare solutions.

Exor reaffirms long-term strategy

John Elkann, CEO of Exor, said the investment firm supports Philips’ long-term strategy, particularly its emphasis on innovation, value creation, and disciplined execution.

He said the updated agreement reinforces Exor’s continued commitment to Philips as its largest shareholder.

The revised arrangement therefore allows Exor to deepen its investment in Philips without immediately altering the companies’ existing governance structure.

Exor’s ability to increase its holding to 22% also gives the investment firm greater flexibility in determining the level of its ownership in the health technology company.

Philips and Exor did not disclose any financial consideration associated with the updated agreement.

The companies will continue operating under the existing governance framework, including Exor’s right to nominate a member of Philips’ Supervisory Board.