4 January 2012

Samsung LED to be merged into Samsung Electronics

On 26 December, the board of directors of South Korea’s Samsung Electronics Co announced its decision to seek a merger with Samsung LED Ltd by acquiring the remaining 50% stake in the joint venture, which it formed in 2009 with component manufacturing affiliate Samsung Electro-Mechanics Co. Samsung Electronics will exchange 0.0134934 of its shares for each Samsung LED share.

The aim is to “nurture the LED business as Samsung Electronics’ future growth engine by utilizing its advanced technology, manufacturing competency, and global sales network”.

The merger is expected to be signed on 20 January and go into effect on 1 April (followed by the issuing of new share certificates on 6 April) after receiving approval at meetings of Samsung Electronics’ and Samsung LED’s boards of directors. Samsung Electronics’ board will meet on 20 February. The book closing period (to determine shareholders entitled to exercise the right to dissent) is 2-7 February.

Since the shares to be provided account for less than 5% of Samsung Electronics’ total outstanding shares, board approval will substitute for a shareholder’s meeting, as stipulated in Article 527-3 of the Commercial Law.

Tags: Samsung LED Samsung Electronics LEDs

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Visit: www.samsung.com