NXP has confirmed it is to go for an IPO and convert the semiconductor manufacturer into a public company named NXP Semiconductors.
An IPO could raise as much as $1bn.
There has been much speculation that the chip maker, which was part acquired by private equity company Kohlberg Kravis and Roberts (KKR) in 2006, was planning a public share offering.
It has now filed a registration statement with the Securities and Exchange Commission in the US for a potential initial public offering of its common stock.
The number of shares to be sold and the price range for the proposed offering have not yet been determined.
In 2006, KKR bought 80% of the company from Philips.
NXP’s revenues were $3.4bn last year.
Philips is said to want to hang onto its 20% stake in NXP which will preclude a sale of the entire company.