South Korean technology giant Samsung Electronics has approved a shareholder return plan worth up to $80bn, marking the largest share buyback programme of its kind in South Korea.
The company said on Friday that its board had approved a 2026 shareholder return plan estimated at between 90 trillion and 110 trillion won, equivalent to roughly $80bn.
Samsung said the plan was designed to ensure that the benefits of its growth translate into tangible returns for shareholders.
The company will initially pay about 30 trillion won in cash dividends in the third quarter, with further details expected to be finalised at a board meeting in late October.
The announcement follows rival chipmaker SK hynix’s decision on Wednesday to unveil a $28.9bn share buyback programme. Its shares subsequently rose 12 per cent the following day.
Samsung and SK hynix have benefited from surging demand for advanced chips used in artificial intelligence systems. Samsung reported an operating profit increase of more than 1,800 per cent in the second quarter, driven by strong AI-related chip demand.
Samsung shares reached a record 370,000 won in June before falling amid investor concerns and a wider technology sector sell-off. They were trading at around 279,000 won on Friday and closed 3.9 per cent higher following expectations of the shareholder return announcement.
According to Samsung’s semi-annual report, the company has around eight million minority shareholders, representing almost one-fifth of South Korea’s adult population.
The company’s share price gains, alongside those of SK hynix, previously helped push South Korea’s benchmark Kospi index above 9,000 points in June before the broader technology rout caused it to retreat.
