Samsung Electronics is expected to merge with Samsung LED by next Monday, according to industry sources on Wednesday.

Samsung Electronics and Samsung Electro-Mechanics will hold a board meeting on Dec. 26 to decide on whether the flagship electronics arm will acquire the 50 percent stake of Samsung LED, currently owned by Samsung Electro-Mechanics, sources said.

The merger is projected to be completed by the first half of next year with the board’s approval.

Samsung LED is a joint venture made between Samsung Electronics and Samsung Electro-Mechanics established in 2009. It is an unlisted firm that was invested 50 percent each by the two firms.

The merger was a forecasted move as Samsung LED chief executive Kim Jae-kwon was repositioned as Samsung Electronics’ global operation head of the mobile communications business in its restructuring last week.

Samsung Electronics has been pushing for the merger to add competitiveness to its LED business as Samsung Group selected it among the conglomerate’s five future growth engines earlier this week.

The merger is projected to offer synergy to the LED sector as Samsung Electronics is equipped with global competitiveness, enabling it to go overseas with its key technology.

(sharon@heraldcorp.com)