Seoul: Samsung Electronics Co. Chairman Lee Jae-yong is set to purchase shares worth 1.9 trillion won (US$1.42 billion) from his mother, Hong Ra-hee. The tech giant made this announcement on Wednesday, highlighting a significant transaction within the company.

According to Yonhap News Agency, Lee will acquire 7,188,793 shares from Hong in an off-exchange transaction scheduled for October 12. These shares represent 0.11 percent of Samsung's total shares and will be bought at a price of 269,500 won per share, as detailed in a regulatory filing by the company.

This acquisition will increase Lee's total stake in Samsung Electronics to 1.58 percent. Sources suggest that Hong may use the funds from this sale to repay loans taken for inheritance taxes after the passing of her husband, former Samsung Chairman Lee Kun-hee, in 2020.