] Samsung Group is expected to speed up its efforts to streamline its byzantine ownership structure and increase the control of its family owners -- including Samsung Electronics
Vice Chairman Lee Jae-yong
and his two sisters -- at the conglomerate in the coming months, according to a report on Sept. 20.
Jeong Dae-ro, an analyst from Mirae Asset Daewoo Securities, said in his investment report, that “(Samsung Electronics) will likely be divided into two -- investment division (the holding firm) and business division,” as part of Samsung Group’s scheme for ownership restructuring.
A rumor has long persisted that the tech behemoth will be leveraged to increase the control of Samsung Group’s family owners.
Samsung Electronics Vice Chairman Lee Jae-yong.
Many market analysts have expected that the Lees will increase their influence at the largest Korean conglomerate via the split-off of the tech giant.
When divided into the two divisions, they anticipated the investment firm will serve as the holding company of Samsung Group after merging with an investment division created via the rumored split-off of Samsung C&T, currently sitting atop Samsung’s management structure.
Analyst Jeong added that Samsung Group would be pressured to swiftly proceed with the split-off plan as a bill to block such split-off scheme, often utilized by the family owners of conglomerates for strengthening their ownership, has recently been proposed at the National Assembly.
The tech firm appointed the vice chairman as a registered board member of the company, which many see as a prelude to the generational power transfer from bedridden Samsung Chairman Lee Kun-hee
By Kim Young-won (email@example.com