Hyundai Motor Company revealed that they will buy back around $228.3 million (255 billion won), worth of the preferred and common stocks.
Hyundai Motor stocks rise as they will buy back the shares worth over $228 million. However, Hyundai Motor shares have increased by more than 30% in 2018. U.S. hedge fund earlier this month also increased pressure on Hyundai Motor to return its “excess capital” to all shareholders.
In May 2018, Hyundai Motor Group, supported by the founding family members, shelved the ownership restructing plan.
Company said in a regulatory filing that they will buy back the common shares worth 214 billion won and the preferred stocks of 41 billion won. The buyback is expected to start from December this year and expected to end on February 2019.
Shares of Hyundai Motor affiliates also increased, with Kia Motors up 2.4 percent and Hyundai Mobis gained 1.7 percent. However, the wider market was up 0.2 percent.