What with boisterous opposition from activist hedge fund Elliott, Hyundai Motor Group’s corporate restructuring scheme is dominating the attention of investors and business insiders.The accusation from Elliott and several other critics of Korea’s second-largest conglomerate is that Hyundai has devised a plan solely in the interest of the owner family, while the group argues that it is aimed to elevate the value of the company, and therefore the interests of the shareholders.So far, four proxy ad

Mobility May 17, 2018

Ending controversies in the course of its acquisition by a Chinese company, South Korean tiremaker Kumho Tire on Wednesday launched a new product for the first time in eight years. The nation’s second-largest tiremaker unveiled a premium comfort tire named the Majesty9 SOLUS TA91 at a launching ceremony attended by more than 350 dealers.  Kumho Tire Chairman Kim Jong-ho poses next to Majesty9 SOLUS TA91, a premium tire launched Wednesday in Seoul.(Kumho Tire)The product is the latest in its prem

Mobility May 16, 2018

Amid growing opposition against Hyundai Motor Group’s corporate restructuring plan, the state-run pension operator in South Korea found itself in a difficult position Wednesday, as it appears to have the final say on the fate of the carmaker.The National Pension Service is the second-largest shareholder, with a 9.82 percent stake in Hyundai Mobis, an auto parts maker at the center of the carmaker’s restructuring plan.The upcoming May 29 vote on Hyundai Mobis’ spinoff merger plan is a test for th

Mobility May 16, 2018

Among many factors concerning South Korea’s corporate world, there’s one particular case that businesses feel commonly sensitive about: activist hedge funds. Hedge funds use unconventional strategies of not only intervening in the company’s board and management, but also waging proxy battles and liquidating assets. They operate around the world, pushing companies with aggressive strategies in pursuit of greater returns.And South Korea appears to be the latest target for the “corporate hunters.”A

Industry May 13, 2018

US hedge fund activist Elliott said Friday that it will vote against Hyundai Motor Group‘s corporate governance reform scheme, raising concerns over the fund agitating foreign shareholders who hold nearly half of the shares in the group’s affiliates ahead of a major vote planned later this month.The nation’s second-largest conglomerate plans to simplify its complex ownership structure. In March, the group said it will spin off Hyundai Mobis’ lucrative after-sales and module division and merge th

Mobility May 11, 2018

A war of words between the nation’s financial watchdog and Samsung BioLogics intensified Thursday over the legitimacy of authorities disclosing the biotech company’s alleged accounting fraud, further raising already heightened market fears.The Financial Supervisory Service found itself cornered, with officials at the upper echelon turning a cold shoulder, saying that its decision to reveal the content of a preliminary notice sent to Samsung has caused “market chaos.”On Ma

Market May 10, 2018

The world of performance cars is moving toward electrification, and Mercedes-AMG, a high performance brand of German luxury carmaker Mercedes-Benz, hopes to take the lead.Tobias Moers, chairman of the board of management of Mercedes-AMG, said in a recent interview with The Korea Herald that the company has set a clear direction to head toward electrification ultimately. In the meantime, the company will focus on developing performance hybrids with high power batteries.“The future, especially in

Mobility May 10, 2018

South Korean auto parts maker Hyundai Mobis has started to produce instrument clusters with digital displays with an aim to generate future growth, the company said Wednesday.Making inroads into the global market for digital instruments, the auto component unit of Hyundai Motor Group, will supply 7-inch digital displays for the electric version of the Kona, a compact sport utility vehicle this month, it said in a statement.By 2020, the company also plans to produce 12.3-inch digital instrument c

Mobility May 9, 2018

An announcement by the nation’s financial regulator on Samsung BioLogics’ alleged breach of accounting rules before its market debut in 2016 last week has sent shockwaves across the market, not only dealing a serious blow to the South Korean biotech drug manufacturer, but also placing a heavy burden on the authorities to prove their claim.The Financial Supervisory Service said on May 1 that it had issued a preliminary notice to Samsung BioLogics and its auditors that it could take action over th

Industry May 8, 2018

South Korean auto giant Hyundai Motor and its sister company Kia are expected to see a turnaround in their respective sales, with industry insiders raising their sales outlook for the second quarter.The two are expected to post nearly 10 percent on-year sales growth, moving closer to their annual goal of 7.55 million units this year, according to officials with knowledge of the matter. Hyundai Motor Vice Chairman Chung Eui-sun (right) poses next to the company’s new sports sedan Lafesta at the B

Mobility May 7, 2018

The streets of Cheongdam-dong in southern Seoul shine in splendor at night with lights coming from boutiques of high fashion brands that invite passersby into their world of extravagance. Embodying a luxurious lifestyle, the district is flamboyant yet quiet all year round, with faceless mannequins dressed in glittering outfits enticing you to indulge. Formerly a small pier connecting Songpa and Apgujeong in the premodern era, Cheongdam has gone through dramatic development since the late 1970s,

Culture May 4, 2018

SEOGWIPO, Jeju Island -- From electrified ultra-mini cars to luxury plug-in hybrids, next-generation green vehicles gathered for a five-day expo designed to promote market growth as well as the global image of Jeju Island as a carbon-free island.The fifth annual International Electric Vehicle Expo kicked off Wednesday at Jeju Convention Center, with more than 150 carmakers and parts and battery manufacturers participating.Seeking to diversify expo programs, organizers opened their doors to plug-

Mobility May 2, 2018

SEOGWIPO, Jeju Island -- To foster larger growth of electric vehicles, new business models must be cultivated, such as by expanding the leasing market as an alternative to diminishing subsidies and tax benefits, experts gathered for an international forum on green cars pointed out.Tax reductions and incentives have driven the growth of electric vehicles around the world. But authorities phasing out such benefits have nearly “killed the market,” and inconsistent tax policy on electric vehicles ha

Mobility May 2, 2018

Businesses, experts and government representatives from around the world will gather on the nation’s southern resort island of Jeju this week to discuss the future of electric vehicles and seek global partnership for universal standardization.The fifth annual International Electric Vehicle Expo kicks off Wednesday through Sunday at Jeju Convention Center, presenting evolving technologies of green vehicles and new business opportunities for participants, the organizers said Monday.“This year’s ex

Mobility April 30, 2018