The Dutch healthcare technology company Royal Philips NV (PHG.US) and its largest shareholder, Exor group, controlled by Italy's Agnelli family, announced on Tuesday that they have extended their shareholder agreement. The deal raises Exor's ownership cap in Philips from the previous 20% to 22%, with the possibility of further increases pending supervisory board approval. This move marks an intensified bet on the healthcare technology sector by the dynasty that founded Fiat, under the leadership of Chief Executive John Elkann.
Under the updated terms, Exor gains greater flexibility to raise its current stake of roughly 19% to a maximum of 22%. Any acquisition exceeding this threshold requires permission from the Philips supervisory board. The market value of Exor's current Philips holdings is close to 5 billion euros (approximately $5.8 billion), ranking as the family's second-largest investment, behind only Ferrari. Philips' product lineup includes MRI scanners, advanced medical imaging systems, and even electric toothbrushes.
The Agnelli family first acquired a 15.1% stake in Philips in August 2023 for about 2.6 billion euros. At the time, Philips was still grappling with the fallout from a massive recall of sleep apnea devices that began in 2021. Exor's high-profile entry was seen as a vote of confidence in management. The family has since made several additional purchases, most recently raising its stake to 19% in 2025. Since Exor became the largest shareholder, Philips' share price has risen by nearly 25%.
This deepening bond also reflects the Agnelli family's strategic shift away from traditional automotive manufacturing toward technology, healthcare, and luxury goods under John Elkann's guidance. Beyond Philips, Exor holds a 10% stake in the French biotechnology company Institut Mérieux, as well as a significant equity position in the high-end footwear brand Christian Louboutin. In a statement, Elkann said the updated agreement demonstrates Exor's steadfast commitment as a long-term shareholder. Philips CEO Roy Jakobs noted that the arrangement highlights the company's value-creation potential.
Under the terms of the agreement, the governance structure remains unchanged, with Exor retaining the right to nominate one member to the Philips supervisory board. Following Tuesday's announcement, Philips' shares in Amsterdam rose as much as 2.1% during the session. However, the stock has recently faced headwinds after the company warned of rising cost pressures for key components used in advanced medical scanners. Meanwhile, Philips continues to work through the lingering effects of the sleep apnea device recall in the U.S. market.
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