Samsung Compliance Committee Chairman Lee Chan-hee stated on the 21st that the committee can review Samsung Electronics' announced Honam region semiconductor investment plan if compliance issues arise, speaking to reporters at Samsung Life Seocho Tower. Lee explained the committee's procedural role while declining to comment on rumors of American Depositary Receipt (ADR) issuance, citing lack of information. The comments come as Samsung Electronics plans to invest approximately 400 trillion won to build two new semiconductor fabrication plants in the Honam region, with Gwangju as the candidate location.
Lee Chan-hee Explains Compliance Committee's Investment Review Role
Lee Chan-hee outlined the compliance committee's review process for Samsung Electronics' investment plans. "If the company's plan comes to the board as an agenda item, matters requiring compliance committee review come to us before that," Lee explained. He added that the committee can independently review issues if compliance concerns exist.
Lee clarified the scope of the committee's authority: "We review whether procedures occur within the compliance framework. Since we don't manage the business, we don't intervene in specific management decisions." Samsung Electronics' Honam investment plan involves building two new semiconductor fabs with approximately 400 trillion won in funding. The company is considering Gwangju as the site due to expected infrastructure support including power and water, plus substantial incentives. If realized, the Gwangju semiconductor cluster would become a major hub alongside the Seoul metropolitan area.
Samsung Electronics Denies ADR Listing Reports as Groundless
Lee declined to address speculation about Samsung Electronics' potential ADR issuance. "I don't know the details yet, so I can't say whether it's a matter for compliance committee review. I don't know much about it, and I'm not sure if the company is reviewing such plans," Lee stated.
Foreign media recently reported that Samsung Electronics is considering listing on the New York Stock Exchange through ADR issuance. Samsung Electronics responded to the reports by calling them "groundless." Interest in Samsung's potential ADR move has grown after memory competitor SK Hynix raised funds through ADR listing.
Compliance Chairman Emphasizes Humility Amid Market Volatility
Addressing ongoing labor tensions and stock price volatility, Lee cited the classical phrase "geogosachu jimangyeil" (居高思墜 持滿戒溢), meaning to think of falling when high and guard against overflow when full.
"I don't trade stocks, so I haven't organized my thoughts on this roller-coaster situation," Lee said. "I believe all policies and corporate operations should be conducted with the public in mind." He emphasized, "We must be humble before the public."
FAQ
What did Samsung Compliance Committee Chairman Lee Chan-hee say about the Honam investment plan on the 21st?
Lee Chan-hee stated that the compliance committee can review Samsung Electronics' Honam region semiconductor investment plan if compliance-related issues arise. He explained that matters requiring committee review come to the committee before reaching the board agenda, and the committee can independently review compliance concerns. Lee clarified that the committee reviews whether procedures occur within the compliance framework but does not intervene in specific management decisions.
How did Samsung Electronics respond to reports about ADR listing?
Samsung Electronics called the foreign media reports about considering ADR issuance for New York Stock Exchange listing "groundless." Lee Chan-hee declined to comment on the speculation, stating he lacks information about the matter and is unsure whether the company is reviewing such plans. The reports emerged after competitor SK Hynix raised funds through ADR listing.
