Cheil Industries to acquire Samsung C&T in all stock deal

MAY 26, 20158:46 AM

[MELBOURNE] Cheil Industries Inc agreed to acquire all of Samsung C&T Corp as the controlling Lee family continues its restructuring of South Korea's biggest business group.

Cheil, with interests spanning construction and theme park, will offer 0.35 new shares for each share of Samsung C&T, according to a filing today.

Samsung Group is restructuring as it faces a leadership transition to a new generation amid pressure from the South Korea government to simplify its organization. Lee Jae Yong, 46, is exerting more influence throughout the conglomerate a year after his father suffered a heart attack that has kept him from involvement in company operations.

"The two companies expect to create synergy by combining their construction businesses, while Samsung C&T's global network will help develop new opportunities overseas for Cheil's fashion, resort and catering businesses," the companies said in an e-mailed statement
.