US fund Elliott files appeal against Samsung merger ruling
The Seoul Central District Court on Wednesday rejected a request from Elliott to stop Cheil Industries buying Samsung C&T Corp through an all-stock deal worth $8bn, a move designed to facilitate Samsung's founding Lee family's father-to-son succession.
"Elliott was disappointed with the recent first instance Court decision not to grant a preliminary injunction to prohibit Samsung C&T from seeking shareholder approval for the Proposed Takeover" at a shareholder's meeting on 17 July, the firm said in a statement.
"However, Elliott today filed a notice of appeal... and is confident that its position will be fully vindicated on appeal."
It said there was a "chorus of disapproval" from Samsung C&T shareholders over over the merger proposals, adding they are "neither fair nor in the best interests of Samsung C&T's shareholders".
But it remains to be seen whether an appeals court would have time to hand down a verdict on the case before the 17 July meeting. Elliott also filed a separate case seeking a court injunction against Samsung C&T's efforts to sell treasury shares to chemicals maker KCC Corp., which the hedge fund said was a move to bolster its hand at the shareholders' meeting.
KCC is a friendly shareholder of Samsung. Treasury shares are useless in voting as companies cannot vote for themselves. The court has not yet reached a decision on that issue, but said it would rule before 17 July.
Source: AFP
Source: I-Net Bridge
For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.
We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.
Go to: http://www.inet.co.za
