Shareholders of Samsung Electronics Co. attend the company’s 52nd annual shareholder meeting in Suwon, 46 km south of Seoul, on March 17, 2021 in this photo provided by the tech giant.
SEOUL, March 14 (Korea Bizwire) — Samsung Electronics Co. is facing the double whammy of a decline in its share price and shareholder opposition to its board of director appointment plan ahead of the annual shareholders meeting slated to be held on Wednesday.
Samsung shareholders have been engaged in online voting since March 6.
One of the most important items on the agenda for the shareholders meeting is the appointment of four CEOs as new board of directors.
However, the National Pension Service, one of tech giant’s major shareholders, voiced its opposition to the appointments in a recent disclosure.
Considering that the state pension fund had an 8.69 percent stake in Samsung Electronics as of end-2021, chances are low that the appointment would fail even if it casts opposing votes.
Nonetheless, the approval rate would likely be lower than expected, posing a burden to the new management.
Above all, Samsung’s 5.06 million individual shareholders are also likely to cast opposing votes this year. Their collective action was triggered by the dispute over the latest Galaxy S22 smartphones’ game optimizing service (GOS) function.
In addition, the company is also having yield problems in its foundry business.
Engulfed by a series of mishaps, the share price of Samsung Electronics remained at around 70,000 won on Friday, down more than 12 percent from the figure marked at the beginning of this year.
Kevin Lee (kevinlee@koreabizwire.com)
