Life Asset Management pressures Samsung to buy back preferred shares
Business
Samsung Electronics is under pressure from hedge fund Life Asset Management to buy back and cancel its preferred shares, aiming to close the price gap between those and its regular shares.
The fund wants Samsung to discuss this at its October meeting, hoping it will make the company more attractive to investors.
Life Asset proposes $54B preferred buyback
This push follows Samsung's massive announcement to return up to $81.7 billion (110 trillion won) to investors this year.
Life Asset suggests using a big chunk, about $54 billion (73 trillion won), to buy back discounted preferred shares, which could help Samsung sidestep legal limits on stock ownership
and Samsung's preferred shares rose as much as 3.3% on Tuesday.