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Photo = Samsung Electronics |
[Alpha Biz= Kim Jisun] Samsung Electronics announced that it would cancel treasury shares worth 3 trillion won as part of efforts to enhance shareholder value. The company will retire shares worth 3 trillion won on the 20th and acquire an additional 3 trillion won worth of shares by mid-May to help stabilize the stock price.
Samsung Electronics stated that its board of directors approved this plan during a meeting held on the same day. This move is part of the company’s commitment made last November to buy back 10 trillion won worth of treasury shares over a year and cancel part of them to increase shareholder value.
A Samsung representative explained, “Of the additional 3 trillion won to be acquired, 500 billion won worth of shares will be distributed as bonuses to employees, while the remaining 2.5 trillion won will be used to enhance shareholder value. However, whether the remaining shares will be retired has not yet been decided.”
Last month, Samsung Electronics announced that it would pay performance bonuses to executives at the senior vice president level and above in the form of stocks, ranging from 50% to 100%, as part of its responsible management strategy.
During the same board meeting, the company also decided to appoint three semiconductor experts as new internal and external directors to strengthen its technological expertise.
Jeon Young-hyun, Vice Chairman and Head of the Device Solutions (DS) Division, and Song Jae-hyuk, President and Chief Technology Officer (CTO) of the DS Division, were nominated as internal directors. Professor Lee Hyuk-jae from the Department of Electrical and Computer Engineering at Seoul National University, a semiconductor expert, was named as an external director.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
