Samsung Electronics denied rumors about its possible merger with Samsung SDS.
Lee Myung-Jin, head of IR Group at Samsung Electronics, said in an investor forum held at Hotel Shilla on June 3, “Despite market rumors about the possible merger between Samsung Electronics and Samsung SDS, we have no such plan at all.”
Lee added, “I know what I am saying is not enough to calm down such rumors but I hope to deliver the management’s opinion clearly to the market.”
As Samsung is picking up the pace of reorganizing its governance structure, including the merger between Cheil Industries and Samsung C&T, rumors have been rampant in the stock market that Samsung Group’s next step would be a merger between Samsung Electronics and Samsung SDS.
Backed by such speculations, the share price of Samsung SDS shot up by about 30 percent for several days. This is the background why Samsung Electronics officially denied such rumors.
