A South Korean hedge fund urged Samsung Electronics to buy back and cancel preferred shares, becoming one of the first shareholders to directly promote the initiative in order to increase the company's valuation. In a letter to Samsung's board and management this week, Life Asset Management called on the South Korean tech giant to buy back and cancel preferred shares until the difference between them and common shares is eliminated. The fund requires Samsung's board of directors to review the plan at the October meeting and cancel the relevant shares by the end of December. Life Asset's appeal suggests that after Samsung recently announced plans to return up to 110 trillion won to investors this year to share the huge wealth brought about by the AI boom, the chipmaker is facing greater pressure from shareholders. Although Samsung has yet to fully disclose details, industry observers have emphasized that preferred shares should be repurchased due to the sharp discount of preferred shares compared to common shares.

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