As Lee Jae-yong, vice chairman of Samsung Electronics Co., has been released from prison on probation, Samsung Group’s financial affiliates, such as Samsung Life Insurance and Samsung Fire & Marine Insurance, are accelerating the search for their new CEOs.
According to investment banking (IB) industry sources on Feb. 7, Samsung Life Insurance Co. and Samsung Fire & Marine Insurance Co. will hold an executive recommendation committee meeting on the 8th to appoint a new CEO. The group’s credit card and securities affiliates will also an executive recommendation committee meeting on the 9th to put up a candidate for a new CEO. The candidates will be officially appointed in a general meeting of stockholders in March after the board of directors approve them at the end of this month.
Under the current law related to the governance structure of financial companies, financial affiliates must recommend a CEO candidate through an executive recommendation committee.
Considering the fact that Samsung Group’s affiliates, including Samsung Electronics, applied “the 60s rule” that replaces CEOs in their 60s with those in their 50s when selecting their CEOs, financial affiliates are also expected to make the generational shift of CEOs, according to market watchers.