On September 24, KCC announced plans to issue exchangeable bonds backed by treasury shares. While LIFE recognizes this can be financially rational to decrease overall financing costs, LIFE believes a more value-accretive approach would have been to first utilize non-core, low-return assets—most notably KCC’s investment in Samsung C&T, which exceeds KCC’s own market capitalization.
In the shareholder letter, LIFE called on KCC’s Board and management to:
- Disclose a clear utilization plan for its Samsung C&T holdings
- Provide its fair value assessment of the Samsung C&T stake and disclose the underlying valuation methodology
- Present a concrete shareholder engagement strategy on Samsung C&T aligned with its declared investment purpose
LIFE is convinced that transparent and strategic decision-making regarding Samsung C&T investments would restore market confidence and ultimately unlock significant value for all shareholders.
