The Accelerating 'Global New Samsung' Clock of Lee Jae-yong... Focus on M&A

Visit to Mexico Factory, North American Production Base

First Overseas Business Trip After Lottery
Quer?taro Home Appliance Factory, Harman Factory, etc.

Planned Visit to UK Afterwards
Examining Acquisition Possibility of M&A Candidate ARM, etc.

Vice Chairman Lee Jae-yong of Samsung Electronics inspecting the refrigerator production plant in Queretaro, Mexico, on the 9th (local time). (Photo by Samsung Electronics)

[Asia Economy Reporter Moon Chaeseok] Samsung Electronics Vice Chairman Lee Jae-yong is accelerating his global on-site management as he visits Mexico for his first overseas trip since the special pardon on Liberation Day. Although Vice Chairman Lee departed as a special envoy appointed by President Yoon Suk-yeol to support the bid for the 2030 Busan World Expo, he reportedly showed swift moves by touring local overseas business sites and continuing merger and acquisition (M&A) contacts. Attention is focused on whether the M&A outcomes of this overseas trip will be announced alongside his inauguration as chairman.

According to Samsung Electronics and business circles on the 13th, Vice Chairman Lee visited Samsung Electronics' home appliance factory in Quer?taro, Mexico, and the Samsung Engineering Dos Bocas refinery construction site on the 9th and 10th (local time), respectively, touring the business sites. This is the first time Vice Chairman Lee has visited the Quer?taro home appliance factory.

Earlier, on the 8th, he met with Mexican President Andr?s Manuel L?pez Obrador to request support for the 2030 Busan Expo bid. Vice Chairman Lee explained Samsung Electronics' local business status in Mexico to President Obrador and expressed gratitude for the Mexican government's support of Samsung.

Initially, the United States or the United Kingdom was mentioned as Vice Chairman Lee's first overseas trip destination after the pardon. Contrary to expectations, Mexico was chosen, which is interpreted as a move to strengthen business in the Americas region. Mexico is close to the United States and is emerging as a production hub for home appliances in North America. Additionally, Samsung owns the Harman production plant in Mexico, which Vice Chairman Lee also visited during this trip.

Following Latin America, Vice Chairman Lee is expected to visit Europe, including the United Kingdom. In the UK, Samsung Electronics operates its European headquarters along with an artificial intelligence (AI) research center in Cambridge and a European design research institute in London.

ARM, a fabless semiconductor design company often mentioned as a major M&A candidate for Samsung Electronics, is also based in the UK, raising expectations that Vice Chairman Lee will explore acquisition possibilities during this trip. Furthermore, during the United Nations General Assembly in mid-month, there is speculation that he may visit the United States to promote the Busan Expo and review potential local acquisition candidates.

Business circles view Vice Chairman Lee's overseas trip as both an inspection of local business conditions and internal consolidation, as well as a full-fledged move toward M&A. Accordingly, there is anticipation that clearer outlines of M&A plans may emerge after the trip.

M&A candidates include ARM, Germany's automotive, industrial, and power system semiconductor company Infineon, and the Netherlands' NXP. Considering that Vice Chairman Lee flew directly to the Netherlands in June before the pardon to seek cooperation from EUV (extreme ultraviolet) lithography equipment maker ASML for equipment supply, there is also speculation that he will lead deals from a 'supply chain management' perspective.

A business insider said, "Since the pardon, Vice Chairman Lee's domestic and international activities have noticeably accelerated. It appears that he has begun active movements not only to inspect business but also as a special envoy of the president to support the Busan Expo bid."

This content was produced with the assistance of AI translation services.