Philips to Split Into Two Companies

[Tech_Dreamer]

Philips the Dutch electronics giant, said on Tuesday that it planned to split itself into two companies: one focused on health care and technology, and the other on lighting.

 

 

The announcement is the latest step by Philips in an effort to reshape itself.

Philips announced plans in June to spin off part of its lighting business its LED components and automotive lighting divisions into its own company

 

The announcement came as Philips was hosting an investor day in London on Tuesday.

 

Philips also said that it would combine its health care and consumer lifestyle businesses to form one company, which it has labeled "Health Tech"

 

 

We would explore several ownership options for the lighting division, giving the stand-alone company direct access to the capital markets

                

                                                                                                           - Frans van Houten

 

As a result of the changes, Philips expects to achieve about 300 million euros, or about $385 million, in cost savings by 2016, but also will incur additional restructuring charges of about €50 million.

 

 

Health Care:

The health care business has been focused around four areas: imaging systems, patient care information systems, home health care and health care transformation services, a new division started last year to help improve the operational and financial performance of hospitals and health systems.

 

Consumer Lifestyle:

The consumer lifestyle division has focused on technology products in the home like beard trimmers and home appliances. It has three business areas: health and wellness, personal care and domestic appliances.

 

these two are being combined in order to form a Health tech department, the rest is being put under the Lighting , all other related electronics to this category..

 

 

PS: on a related news , Philips recently did a Hue light release just for the movie sharknado which would react to the scenes from the movie...Interesting... :huh:

 

 

 

 

Anyways, The company expects to provide more information on the changes in 2015.

 

Philips still plans to go ahead with a separate spinoff of its combined automotive lighting and LED components businesses, which accounted for about 15 percent of its sales in 2013. The spinoff of those business lines is expected in the first half of 2015.

 

 

Rather dull news, No comments required , post whatever you like ...

 

 

 

Link: http://dealbook.nytimes.com/2014/09/23/philips-to-split-into-two-companies-in-a-continuing-revamp/

 

 

[TopWargamer]

Wait wait wait, Phillips does health care?

[alby800]

^^^^

[Tech_Dreamer]

Wait wait wait, Phillips does health care?

yeah! mri scanners & ultrasound equipments

[connorpiper]

Wait wait wait, Phillips does health care?

 

Yea, like heart monitors. Hitachi also makes stuff like that, and MRI machines!

[Clyne]

Atleast their not making another console, CDI was horrible(IMO) 

[Williamchan87]

Philips is a very large and vast market company

[Kev]

Wait wait wait, Phillips does health care?

If you've ever had major surgery there is a good change something from Philips was used at some point. Kinda like how anyone involved in music in any way has used an M-Audio product at least once.

[Tonylu1595]

I only knew their screws.. oh wait that's Philips screw company.