Amsterdam, The Netherlands – Royal Philips Electronics (AEX: PHI, NYSE: PHG) today announced that the sale of 200 million shares in Hong Kong-based technology provider TPV Technology Ltd. (0903.HK) to CEIEC (H.K.) Ltd., as initially announced by Philips on January 29, 2010, has been finalized after buyers obtained applicable consents, authorizations and approvals from the relevant government authorities. The sale, which has a break-even impact on our results, provides Philips with net proceeds of approximately EUR 95 million in the first quarter of 2010.
As a result of this transaction, which is in line with Philips’ communicated strategy to dispose of its remaining non-core shareholdings, Philips now holds 63 million shares in TPV, which represents a stake in the company of just below 3%. Philips also holds options on shares of TPV through a convertible bond issued to Philips in September 2005, with a face value of USD 211 million, representing a potential ownership of approximately 310 million new TPV shares.