Royal Philips announced that it intends to sell shares in the lighting business unit via a public offering. This culminates a process started in 2014, when the company announced it intended to sell its lighting unit.

Royal Philips initially intends to sell at least 25% of the shares in the IPO. After the IPO, Royal Philips will retain a majority holding with the aim of fully selling down over the next several years as the company focuses on its health tech business.

Analysts have valued the lighting business unit at about $5.8 billion.