Sam­sung sells shares in four firms

The Myanmar Times - - International Business -

SAM­SUNG Elec­tron­ics has sold shares it held in four tech­nol­ogy com­pa­nies in­clud­ing US chip­maker Ram­bus and Ja­pan’s Sharp to free up money and fo­cus on its main busi­ness.

The South Korean tech gi­ant also sold shares in Dutch semi­con­duc­tor equip­ment maker ASLM and US hard drive maker Sea­gate, it said in a state­ment.

Sam­sung – the world’s top smart­phone maker which also man­u­fac­tures mem­ory chips, TVs and home ap­pli­ances – has for many years bought shares in other tech firms in semi­con­duc­tor or dis­play panel in­dus­tries.

“It was aimed at fo­cus­ing on our core busi­ness by ef­fi­ciently man­ag­ing the in­vest­ments made in the past in line with changes in busi­ness en­vi­ron­ments,” Sam­sung said.

The news of the sales came as the firm is mired in a ma­jor re­call of its flag­ship smart­phone over a se­ries of bat­tery ex­plo­sions.

The global re­call of the Gal­axy Note 7 smart­phone raised alarm among air car­ri­ers and avi­a­tion safety au­thor­i­ties world­wide that banned the de­vice on flights.

Sam­sung sold off half of a 3 per­cent stake it held in ASML, and its en­tire stakes in the other three com­pa­nies for “ef­fi­cient man­age­ment of as­sets”, it said.

It had held a 4.5pc stake in Ram­bus, 0.7pc of Sharp and 4.2pc in Sea­gate. The firm did not elab­o­rate on the tim­ing or the value of the shares sold.

Yon­hap news agency es­ti­mated the value to be about 1 tril­lion won (US$890 mil­lion), in­clud­ing 600 bil­lion won from the sale of the ASML shares.

Sam­sung and its sis­ter firms have in re­cent years di­vested from non­core oper­a­tions as the par­ent Sam­sung Group sought to stream­line busi­ness amid a gen­er­a­tional power trans­fer in the found­ing Lee fam­ily.

The group’s cur­rent chair Lee Kun-Hee has been bedrid­den since suf­fer­ing a heart at­tack in 2014 with his son, JY Lee, widely be­lieved to take over.

The ju­nior Lee, cur­rently the vice chair of Sam­sung Elec­tron­ics, was nom­i­nated last week by the firm’s board as a new board mem­ber of the group. –

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