Samsung wins approval for key merger after bitter fight
SEOUL (APP) - South Korea's dominant Samsung conglomerate -- run by the country's wealthiest family -- secured shareholder approval Friday for the merger of two affiliates, seeing off a formidable challenge from investor activists led by a combative US hedge fund.
The victory, following a bitterly contested proxy battle, will come as an enormous relief to the founding Lee family as it seeks to restructure the multi-headed Samsung Group ahead of a generational transfer of power from ailing patriarch Lee Kun-Hee.
At an emergency meeting on Friday, shareholders of construction firm Samsung C&T voted in favour of a takeover by the group's de facto holding company, Cheil Industries, in an all-stock deal.
The merger had been passionately opposed by a significant number of C&T investors, rallied by US hedge fund Elliott Associates -- the company's second-largest single shareholder.
Elliott had argued that the takeover wilfully undervalued the C&T share price at an unacceptable cost to its shareholders.
Samsung C&T executives insisted the deal would enhance shareholder value in the long-run, creating a more competitive merged company that could target sales of 60 trillion won ($52 billion) by 2020.
- Pakistan’s ‘best bank' denies trans rights activist an account ...11:52 PM | 16 Jan, 2021
- Pakistan Air Force chief meets Turkish defence industries head11:22 PM | 16 Jan, 2021
- WATCH – Woman accusing Babar Azam of sexual abuse says video of her ...11:08 PM | 16 Jan, 2021
- Punjab CM Buzdar lays foundation stone of Sheikhupura-Gujranwala road10:45 PM | 16 Jan, 2021
- US threatens India with sanctions over purchase of Russian S-400 air ...10:39 PM | 16 Jan, 2021
- Selena Gomez shares the reason behind calling out Mark Zuckerberg ...07:32 PM | 16 Jan, 2021
- Ayeza Khan celebrates 30th birthday04:22 PM | 16 Jan, 2021
- Details of Varun Dhawan-Natasha Dalal's wedding revealed03:58 PM | 16 Jan, 2021
- Stars who dated in the past11:38 PM | 5 Jan, 2021
- COVID-19 – How many vaccine doses Pakistan and neighbouring ...08:34 PM | 5 Jan, 2021
- 10 women celebs who lent their star power to UN06:50 PM | 5 Jan, 2021
- #2020InReview – Pakistan's initiatives in the year 202010:55 PM | 4 Jan, 2021