Fannie Mae, Freddie Mac shares tumble after conservatorship comments
LONDON - ING Bank N.V. has announced its role as the Stabilising Manager for Koninklijke Philips (AS:PHG) N.V.’s upcoming bond issue, which includes both 5-year and 10-year euro-denominated tranches. The stabilization period is set to commence today, May 15, 2025, and is expected to last no more than 30 days post the issuance date of the securities.
The stabilization mechanism is a strategy employed by financial institutions to support the market price of newly issued securities. ING Groep (AS:INGA), acting as the Stabilising Manager, may over-allot or undertake transactions to maintain the price of Philips’ securities. This action is intended to prevent price volatility that could adversely affect the new issue. However, there is no guarantee that stabilization activities will occur; if they do, they can be discontinued at any time.
This stabilization effort is in line with Commission Regulation (EC) No. 2273/2003, which aligns with the Market Abuse Directive (2003/6/EC). The directive ensures that any such activities are conducted transparently and within the boundaries of the law.
The announcement specifies that this financial maneuver is not an invitation or offer to underwrite, subscribe for, or acquire securities. It is directed at a specific audience, notably outside the United Kingdom (TADAWUL:4280) or within the UK to those with professional investment experience or high net worth individuals as defined by the Financial Services and Markets Act 2000.
Furthermore, the securities are not being offered for sale in the United States and have not been registered under the U.S. Securities Act of 1933. As such, they cannot be sold or offered in the U.S. without registration or an exemption from registration requirements.
This move comes as part of Philips’ broader financial strategy, and the details of the transaction are based on a press release statement. The specifics of the aggregate nominal amount of the bonds are not disclosed in the notice.
Investors and market watchers will be observing the stabilization process closely, as it can serve as an indicator of the market’s confidence in Philips’ financial instruments and overall health.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.