SEOUL (Reuters) -Samsung Electronics (005930.KS) plans to buy back shares worth 10 trillion won ($7.17 billion) over a one-year period to boost shareholder value, it said in a regulatory filing after the closing of the market on Friday.
Of the total, three trillion won shares, or 50.14 million common shares and 6.91 million preferred shares, will be redeemed and canceled over the next three months, Samsung said in a separate statement.
The board will decide on ways to increase shareholder value, including when and how to use the remaining seven trillion in the buyback program, the board said.
It is the first time Samsung Electronics has decided to buy back shares since 2017, when it acquired a total of 20.7 trillion won.
The world’s largest memory chip maker said last month it would focus on high-end chip production and is moving forward with a major supply deal as it seeks to allay investor concerns about its semiconductor business, which has seen a quarter-on-quarter decline made a profit of 40%. dive.
Shares of Samsung Electronics rose 7.2% on Friday, the biggest daily jump since March 2020, recovering from their lowest level since mid-June 2020. They were still down 32% this year.
($1 = 1,395.3100 won)
(Reporting by Jihoon Lee; Editing by Muralikumar Anantharaman, Kirsten Donovan)
