Samsung Everland sheds two more businesses
Another major business shake up is taking place at the nation’s largest conglomerate, Samsung.
This time the group’s de facto holding company, Samsung Everland, has decided to spin off its less vital businesses.
After a board meeting yesterday, Everland decided to sell its building security management department to security solution provider S1 Corp. for 480 billion won ($451.6 million).
Additionally, it decided to spin off its catering and food supply businesses as an entirely new company.
The move comes after the affiliate Cheil Industries, decided to sell its fashion business to Everland in late September.
Everland said it decided to reorganize its business to focus on design and content.
The new catering and food company will have about 2,400 employees. The business last year reported 1.2 trillion won in revenue. The aim of the new catering company is to speed decision-making to help secure competitiveness and expertise.
With the change, Samsung Everland will focus on fashion, real-estate management and leisure.
Samsung Everland has been under the management of Chairman Lee Kun-hee’s eldest daughter, Lee Boo-jin, since 2010. His second daughter manages Cheil Industries, which recently decided to transform from a fashion company to a high-tech electronics materials provider.
Other changes within the conglomerate include the merging of Samsung SNS with Samsung SDS.
Changes in Samsung Group’s construction department are also being detected as Samsung C&T Corp. between Sept. 26 and Oct. 16 expanded its stake in Samsung Engineering from 1.82 percent to 2.3 percent.
BY SHIM JAE-WOO [firstname.lastname@example.org]