Hyundai Motor (Hyundai-Kia Group) plans to repurchase some 254.7 billion won (around US$227m) worth of its shares in an effort to boost shareholder value and stabilise the value of its shares, according to Korean media reports.
"Repurchased shares will be used to strengthen shareholder value in the mid- to long term as part of efforts made since 2014 (to deliver) improved shareholder value," Hyundai said in a statement, according to the Korea Herald.
The newspaper noted that Hyundai's stock has slid lately on on reports that US authorities will be reinvestigating Hyundai and Kia to determine whether faulty engine recalls in 2015 and 2017 were conducted properly.
Yonhap reported that the latest buyback involves 2.7 million shares: 2,136,681 common stocks, 243,566 first-preferred stocks, 364,854 second-preferred stocks and 24,287 third-preferred stocks – around 1% of the company's total shares.
The repurchase will begin on 3 December and continue through the end of February, the company reportedly said.