Philips shares climb 2.5% after top investor Exor boosts stake
Adds details, context
AMSTERDAM, June 26 (Reuters) -Philips PHG.AS shares rosemore than 2.5% on Wednesday, a day after a U.S. Securities and Exchange Commission filing showedExor EXOR.AS, investment arm of Italy's Agnelli family, had increased its stake in the Dutch healthcare technology group.
According to the filing on Tuesday, Exor now owns 17.51% of Philips, up from 15.1%, strengthening its position as top investor of the group.
A spokesman for Netherlands-based Exor - which can further increase its stake in Philips to as much as 20% - declined to give details about the stake increase or any potential further share purchase.
Exor bought its initial 15.1% stake in Philips in Augustlast year, a move seen as a vote confidence in the Dutch company, which at that time was in the late stages of a huge product recall ongoing since2021.
Since then, Amsterdam-listed shares in Philips have jumped over 30%, also supported by a final deal on its sleep apnea machines reached with the U.S. government two months ago.
Exor, whose investments include manufacturing, media, fashion, sport and technology, has said it had agrowing interest in the healthcare industry.
CEO John Elkann, scion of the Agnelli family, said earlier this year in a letter to Exor shareholders that Philips had "leadership positions in highly attractive segments" and its management was "tackling head-on" the challenges it faced.
Exor is the controlling shareholder of companies including Ferrari RACE.MI and Serie A soccer club Juventus JUVE.MI, and is the single largest investor in automaker Stellantis STLAM.MI.
At 1010GMT, Philips shares were up2% at 24.34euros, outperforming the Dutch AEX .AEX blue chip index. Since the start of the year, Philips has gained almost 20% after surging57% in 2023. Those advances came after it lost 68% over the 2021-2022 period.
Reporting by Toby Sterling and Benoit Van Overstraeten in Amsterdam, Giulio Piovaccari in Milan; Editing by Louise Heavens and Bernadette Baum
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