National Storage Mechanism | Additional information
RNS Number : 3852T
Samsung Electronics Co. Ld
31 July 2025
 

Transaction with Affiliate Company

 

The Board of Directors of Samsung Electronics Co., Ltd. (KS005930, KS005935, SMSN, SMSD) on July 31, 2025, authorized the following related-party transaction with an affiliated company.

 

Long-term loans from Samsung Display

Major transaction terms

Loan type

Long-term loans

Loan agreement date

February 16, 2023

Lender

Samsung Display

Relationship with the lender

Affiliate

Loan period

February 17, 2023-February 16, 2028

Maturity Date

February 16, 2028

Loan amount

KRW 20 trillion

Total equity of borrower as of the end of the previous business year

KRW 236,396,657 million

Percentage of loan to total equity

8.46%

Interest rate

3.90%/year

Method of loan payment

Lump sum at the maturity date (early payment is possible)

Purpose

Operational costs

Total amount of loans

(in the business year the agreement was signed)

KRW 20 trillion

Total assets of borrower as of the end of the previous business year

KRW 324,966,127 million

Percentage of loan to total assets

6.15%

Other information:

- This borrowing is intended to secure operating funds

- The above loan agreement date refers to the original agreement; and a contract extension is scheduled to be signed on August 14, 2025.

- Regarding the above interest rate, the interest rate for the original contract period (2023.02.17-2025.08.16) is 4.6% per year, and the interest rate for the extended contract period (2025.08.17-2028.02.16) is 3.9% per year

- The above 'Total amount of loans' includes the value of the loan that is the subject of this disclosure.

- The above values for total equity and total assets are from the end-2024 separate financial statements written

 in accordance with K-IFRS.

- This disclosure is a correction related to the extension of the loan agreement disclosed on February 14, 2023.

- Number of Independent Directors present at the BOD Meeting: 6 (100%)

- Attendance of Audit Committee: Y

- Date of a relevant disclosure: February 14, 2023

 

This disclosure is in accordance with the Korean Fair Trade Act, which mandates that a company must disclose financial and real estate transactions in the event the value of such a transaction is greater or equal to KRW 10 billion and the counterparty is a financial affiliate of the party required to make the disclosure.

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