Philips prices EU green bond for EUR 650M

Amsterdam, the Netherlands – Royal Philips (NYSE: PHG, AEX: PHIA), a global leader in health technology, today announced the successful pricing of its offering of EUR 650 million fixed rate notes due 2034 (the “Notes”) under its European Medium Term Note (EMTN) program. The Notes are the healthcare industry’s first EU Green Bond under the new European Green Bond Standard.

This issuance is not expected to result into an increase of Net Debt. Gross Debt will be temporarily increased until repayment of the 2027 bond maturity in May 2027.

The issue price for the Notes due 2034 is 99.655% with a Coupon of 4.0%, resulting in a yield of 4.055%. The 7.8 year tranche was oversubscribed by 2.7 times.

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An amount equivalent to the gross proceeds will be used to finance taxonomy-aligned economic activities as referred to in Philips European Green Bond Factsheet , supporting Philips in delivering on its 2030 Impact Ambition .

Settlement and issue of the Notes is scheduled for August 28, 2026. Application has been made for the Notes to be listed on the Official List of the Luxembourg Stock Exchange and to be traded on the regulated market of the Luxembourg Stock Exchange. Philips is committed to maintaining a strong investment grade credit rating. Currently, the company has a BBB+ rating by Standard & Poor’s (stable outlook), a Baa1 rating by Moody’s (stable outlook) and a BBB+ rating by Fitch (stable outlook).

THIS PRESS RELEASE IS NOT AN OFFER OF SECURITIES FOR SALE IN THE UNITED STATES. THE SECURITIES REFERRED TO HEREIN HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE ‘SECURITIES ACT‘), AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES ABSENT REGISTRATION OR AN APPLICABLE EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT. THERE IS NO INTENTION TO REGISTER ANY SECURITIES REFERRED TO HEREIN IN THE UNITED STATES OR TO CONDUCT A PUBLIC OFFERING OF SECURITIES IN THE UNITED STATES.

PROHIBITION OF SALES TO EEA RETAIL INVESTORS – The Notes are not intended to be offered, sold or otherwise made available to and should not be offered, sold or otherwise made available to any retail investor in the European Economic Area (the “ EEA ”). For these purposes, a retail investor means a person who is one (or more) of: (i) a retail client as defined in point (11) of Article 4(1) of Directive 2014/65/EU (as amended, “MiFID II”); or (ii) a customer within the meaning of Directive (EU) 2016/97, where that customer would not qualify as a professional client as defined in point (10) of Article 4(1) of MiFID II.