Samsung Electronics decides to cancel $2 bil. worth of treasury stocks

A flag of Samsung Electronics's logo at the company's office in Seoul, March 18, 2024. Newsis

Samsung Electronics said Tuesday it has decided to cancel 3 trillion won ($2.01 billion) worth of treasury stocks as part of its buyback plan to enhance shareholder value.

Around 50.1 million common stocks and 6.9 million preferred shares will be retired, according to the company in a regulatory filing.

Samsung Electronics said the cancellation follows the decision made at a board meeting in November to repurchase its own shares worth a combined 10 trillion won over the ensuing year.

As a first step, it said it was planning to buy back 3 trillion won of shares within three months and cancel all of them.

By reducing the total number of outstanding shares, the company aims to boost earnings per share and support its stock price, ultimately benefiting investors. (Yonhap)