◇ The merger was approved by the Board of Directors of the two companies on May 26. The completion of the proposed merger slated for September 1
◇ Cheil Industries to acquire Samsung C&T at a ratio of 1:0.35. The name of the merged company will be Samsung C&T as a symbolic gesture to preserve the identity of Samsung Group
◇ The new Samsung C&T aims to become the top class global company leading F&B, clothing, housing, leisure and biotech businesses
- The new Samsung C&T will secure growth momentum and become the largest shareholder of biotech business, which is a new growth engine of Samsung Group
◇ Annual revenue expected to rise from pre-merger KRW 34 to KRW 60 trillion in 2020. The new Samsung C&T will play the pivotal role in Samsung Group along with Samsung Electronics
□  On May 26, Cheil Industries and Samsung C&T announced that their Board of Directors approved the proposed merger of the two companies in a bid to leap toward the top class global company.
□  Cheil Industries will acquire Samsung C&T shares at a ratio of 1:0.35, calculated based on average closing prices. Cheil Industries will issue new stocks to Samsung C&T shareholders.
Both companies will hold an extraordinary general meeting in July, and complete the merger on September 1
□  The merged company&rsquos name will be Samsung C&T, acknowledging the brand&rsquos global awareness and in order to keep the entrepreneurial spirit of Samsung Group.
□  Cheil Industries was established in 1963 as a property developer and theme park operator, and expanded its business to construction and F&B services. The company acquired a fashion business unit from the former Cheil Industries in 2013, and went public on the Korea Stock Exchange at the end of 2014.
Samsung C&T Corporation was founded in 1938, as a parent company of Samsung Group. In 1975, Samsung C&T was designated as the first general trading company in Korea to lead overseas sales operations. In December 1995, Samsung C&T incorporated Samsung Construction, which led the company to be divided into the Trading & Investment Group (T&I Group) and Engineering & Construction Group (E&C Group) with global business carried out in offices in around 50 countries.
The two companies have worked closely together over the years, including the launch of Samsung&rsquos biotech business in 2011, and the joint acquisition of Lakeside Golf Course in 2014.
□  Since the initial public offering late last year, Cheil Industries has been exploring measures to strengthen its core business competitiveness and global sales network in a bid to expand construction, fashion and other business units.
Samsung C&T, which has rich experiences in construction and trading, has also sought ways to diversify its businesses and develop new growth momentum in order to overcome sluggish global economy and high competition.
□  The proposed merger will establish the foundation for the two companies to grow into a global leader in fashion, F&B, construction, leisure and biotech industries to offer premium services across the full span of human life.
▲  By integrating construction business units, the proposed merger will enable the two companies to enhance their competency as well as synergies
▲ By leveraging Samsung C&T&rsquos capabilities in operation and infrastructure in global markets, the proposed merger will accelerate the global expansion of fashion and F&B businesses, and identify new business opportunities.
▲ The merged company will become the largest shareholder of biotech business, which is Samsung Group&rsquos new growth engine, and pursue  both stability and business growth. Cheil Industries and Samsung C&T hold 46.3% and 4.9% stakes in Samsung BioLogics, respectively.
The total amount of annual revenue of the merged company is forecasted to reach KRW 60 trillion in 2020 from KRW 34 trillion in 2014, boosted by strengthened global competency and synergies through the integration of construction, trading, fashion, resort and F&B businesses, which are the core business units of the two companies.
□  Cheil Industries CEO Yoon Joo Hwa said "The proposed merger is a strategic choice to secure the company&rsquos core competency in order to become a global leading company," adding, "We will become the top class global company, offering 'Total Premier Service' across the full span of human life."
Samsung C&T CEO Chi Hun Choi said "We plan to secure growth momentum by diversifying business portfolio, including fashion and biotech, and integrate the competencies of Samsung C&T&rsquos global operation and Cheil Industries&rsquo specialties in order to strengthen our competitiveness further."