A group of investors has called on Samsung’s de facto holding company to increase dividends and institute share buybacks, as pressure mounts on South Korean companies to address their low valuations.
US hedge fund Whitebox Advisors, UK fund City of London Investment Management and Seoul-based fund Anda Asset Management submitted their proposals on Friday ahead of Samsung C&T’s annual meeting in March. The funds hold a stake of just over 1 per cent in the company.
The company, whose operations span construction and retail and through which the conglomerate’s ruling Lee family controls tech giant Samsung Electronics, trades at more than 65 per cent below its net asset value, making it a target for investors campaigning to narrow the long-standing “Korea discount”.