US activist hedge fund Elliott Management proposed that Samsung Electronics should split itself into two companies. According to the suggestions, From splitting company one should be a holding company for ownership purposes and other one should be an operating company. A report from Seoul Economic Daily claimed that Samsung Electronics Might Split in two Companies. For that reason, Samsung’s board of directors will held a meeting to discuss it in detail. Moreover, the company will announce a decision soon.
Samsung Electronics Might Split Itself in two Companies: Report
Lee family, which controls the Samsung Electronics, should be get listed on Nasdaq stock exchange to increase the interest of stakeholders. Moreover paying a $26 billion special dividend will surely return at least 75 percent of free cash flow to investors.
Surely, this move will help Samsung to simplify the Complex structure of the organization. Moreover, it will also give a positive impact on stock with great organizational and tax benefits.
Samsung Electronics is taking the significant steps to expand its own CPU development. Earlier this year, Samsung has developed its first custom CPU core inside its Exynos 8890 processor for the Galaxy S7. Now Samsung’s Device Solution division is going to built its own CPU core for 32-bit micro-controllers. Most probably, these cores will be for Internet of Things devices.
For More Information Also Read: Samsung to Develop Its Own Independent CPU Core based on RISC-V