A South Korean court on Friday said it will rule by July 1 on US hedge fund Elliott's injunction request to block a Samsung C&T Corp shareholder vote on an $8-billion takeover bid from Cheil Industries Inc.
In an unusual example of shareholder activism in South Korea, the fund told the court Cheil's all-stock offer was designed to pave the way for a leadership succession in the family-run Samsung conglomerate and did not serve the best interests of other shareholders.
"The company has yet to present a convincing argument on what synergies can come from the merger," a lawyer for Elliott argued.
In an unusual example of shareholder activism in South Korea, the fund told the court Cheil's all-stock offer was designed to pave the way for a leadership succession in the family-run Samsung conglomerate and did not serve the best interests of other shareholders.
"The company has yet to present a convincing argument on what synergies can come from the merger," a lawyer for Elliott argued.