Capital Investment in Affiliate

On July 28, 2011, the Board of Directors of Samsung Electronics authorized a capital investment of KRW 90 billion to participate in Samsung Biologics rights offering.
Samsung Biologics will use the fund raised from the rights offering to construct a new biopharmaceutical production line.

In April 2011, Samsung Electronics funded 40% (KRW 30 billion) of the initial capital of Samsung Biologics. Under the rights issue, Samsung Electronics will purchase shares in proportion to its current 40% stake in Samsung Biologics, and pay KRW 90 billion in three equal installments.
•First installment (September 2011): KRW 30 billion
•Second installment (January 2012): KRW 30 billion
•Third installment (April 2012): KRW 30 billion


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