Philips Grants Largest Shareholder Exor Authorization to Raise Stake to 22%
Philips has authorized its largest shareholder, Exor, to increase its stake to up to 22%, revising a previous 20% cap. The move reflects continued support for Philips' long-term strategy.
Philips announced Tuesday that it has authorized its largest shareholder, Exor, to increase its stake in the company to as much as 22%. The revised agreement, which updates a previous cap of 20%, underscores the deepening relationship between the Dutch health technology firm and the Italian investment holding company.
Background: Exor's Initial Investment
Exor, the holding company of Italy's billionaire Agnelli family, first acquired a 15% stake in Philips in 2023. At that time, Philips was still grappling with the fallout from its recall of Respironics sleep apnea and ventilator devices. The original deal capped Exor's ownership at 20%.
Revised Agreement Details
Under the terms of the revised long-term agreement, Philips' supervisory board retains the authority to allow Exor to increase its stake beyond the new 22% threshold. This provision grants flexibility for future ownership adjustments, subject to board approval.
Exor's Diversification into Medtech
Exor, traditionally associated with the Italian automotive industry, has diversified into medtech and healthcare through investments in companies such as Institut Mérieux, Lifenet, and Philips. Notably, Exor agreed to sell Lifenet, an Italian operator of hospitals and outpatient clinics, earlier this year.
Philips represents a key investment for Exor. In its 2025 letter to shareholders, the holding company highlighted its focus on the medtech business, alongside carmakers Ferrari and Stellantis, and agriculture and construction equipment maker CNH.
Leadership Perspectives
Exor CEO John Elkann said in a statement that the revised agreement with Philips reflects the investor's support for the company's long-term strategy and its continued commitment to the business. Feike Sijbesma, chairman of Philips' supervisory board, noted Exor's "constructive engagement" with the company. The investor's long-term commitment reflects "confidence in Philips and its strategy," Sijbesma added.
Board Representation and Recent Changes
Sijbesma oversees a supervisory board that includes Benoît Ribadeau-Dumas, an Exor executive. Philips added Ribadeau-Dumas to the board in 2024. Under the new deal, Exor retains the right to nominate one person to the board. Recently, Exor gave Ribadeau-Dumas additional responsibilities, appointing him as deputy CEO of Exor effective July 1.
This appointment places an individual with close ties to Philips in a key position at Exor, as the holding company implements a revised strategy following a year in which its investments underperformed.
Exor's Strategic Repositioning
In response to these challenges, Exor has simplified its portfolio and concentrated on larger companies. By divesting its stakes in Lifenet and three other companies, Exor positioned itself to "pursue a significant new investment similar in scale and ambition to Philips," Elkann said in March. At that time, Exor had more than 3.5 billion euros ($4 billion) available for investment.