Royal Philips Electronics said Thursday it was selling the bulk of its semiconductor business to US private investors in a deal that will net the Dutch group 6.4 billion euros (8.2 billion dollars).
Philips said it had agreed to sell an 80.1 percent stake in the unit to a consortium comprising Kohlberg Kravis Roberts, Silver Lake Partners and AlpInvest Partners.
Philips said in December it was launching a fundamental review of the volatile chip-making market, and is now refocusing its energies on more stable areas such as lighting and medical devices.
"With this transaction we have now practically completed our shift towards more stable, cash-generative businesses and away from the earnings volatility associated with cyclical industries like components and semiconductors, a journey we started in 2002," company chief executive Gerard Kleisterlee said.
