Samsung Group’s (SAGR.UL) heir apparent Jay Y. Lee will take over from his father Lee Kun-hee as head of two key foundations, the conglomerate said on Friday.
Jay Y. Lee, 46, will succeed his 73-year-old father, who has been hospitalised since suffering a heart attack more than a year ago.
Jay will take over as chairman of Samsung Life Public Welfare Foundation and Samsung Foundation of Culture from May 31, a Samsung Group spokeswoman said.
The foundations hold stakes in Samsung Life Insurance Co Ltd, an important piece in the conglomerate’s complicated ownership structure that enables the Lee family to control the group in spite of their relatively small stakeholdings.
Samsung insiders say that since his father’s hospitalisation, the younger Lee has been the main decision-maker at the vast conglomerate, which includes smartphone giant Samsung Electronics Co Ltd.
The foundation appointments, however, mark the first time Jay has formally assumed leadership roles from company patriarch Lee Kun-hee, who is chairman of Samsung Electronics.
“A key point in the succession process is controlling the foundations because they hold stakes in key Samsung Group companies,’’ said Park Ju-gun, head of corporate watchdog CEO Score.
“I think it’s safe to say that the succession process is near a final stage.’’
Samsung Group has undertaken a series of moves over the past year that investors and analysts see as preparing the way for a stable handover from the elder Lee to his three children.
Source : Leadership