Samsung studies the possibility of dividing into two companies

The technology considers necessary the measure so that the current Vice President Lee Jae-Yong inherits the company from his father

   Samsung Electronics Co. has indicated on Tuesday that it studies the option to split into two companies, a measure considered necessary for current Vice President Lee Jae-Yong to inherit his father's company.

Samsung is also under pressure from foreign investors - including the North American fund Elliott Management - to improve its business management through the establishment of a holding company and increase dividends for shareholders.

  The measure is being studied just at a time when the electronic giant is facing the reverse of the global recall of its Galaxy Note 7 mobile model due to its defective batteries.

Samsung said in a statement that it considers the possibility of splitting into a holding company or holding company and a production unit, an option whose possibility it will study for about six months.

Analysts said the division would give Samsung Electronics vice president Lee Jae-Yong more control over the company that his father Lee Kun-hee presides over. Elliott and other investors urged Samsung to create a holding company as a way to manage the complex layers of cross-subsidiary shareholders.