South Korea’s carmaking giant Hyundai Motor Group is seeking to raise holdings in its auto financing unit by taking over a part of stakes held by a U.S. firm, industry sources said Wednesday.
Currently, GE Capital, a unit of General Electric Co., holds 43 percent in Hyundai Capital, the country’s largest auto financing company. Hyundai Motor Group and Taiwan’s Fubon Group are considering taking over 23 percent and 20 percent, respectively, from the company, according to the sources.
With the planned stake purchase, Hyundai Motor Group, which owns Hyundai Motor Co. and Kia Motors Corp. under its wing, could raise its holdings in the auto financing firm to nearly 80 percent.
Hyundai Capital is a joint venture established in the early 1990s by Hyundai Motor Group and GE Capital.
A Hyundai Motor Group official declined to comment on details, saying that nothing has been determined yet. GE and Fubon officials were not reached for comment. (Yonhap)
