Philips could make $8bn from TSMC stake

Philips Electronics and TSMC have agreed to a phased plan which will allow Philips to make an ‘orderly exit’ from its TSMC shareholding. “We are pleased to have reached agreement with TSMC on this plan to facilitate our exit from our current shareholding in TSMC in an orderly, responsible manner,” said Philips’ chief financial officer Pierre-Jean Sivignon (pictured). “Selling our stake in TSMC is a logical consequence of our decision to exit the semiconductor business, to which end we made a first, significant step in 2006 when we sold a majority stake in our semiconductor division.” Philips currently holds a 16.2% stake in TSMC. At current prices, the disposal would raise more than $8billion. However, the plan calls for the shares to be sold in four phases.