[THE INVESTOR] Lotte Group on Oct. 25 pledged to invest a fresh 40 trillion won (US$35.16 billion) in the next five years and seek a stock listing of Hotel Lotte that has been stalled due to prosecutors’ investigation into the retail giant’s corruption scandal. The new plans came as Chairman Shin Dong-bin issued a public apology for the group’s series of irregularities. The Lotte chief himself was also indicted on charges of tax evasion, embezzlement and other criminal charges.“Lotte plans to in

Oct. 25, 2016

[THE INVESTOR] Yello Digital Marketing, the digital marketing unit local mobile app aggregator Yello Mobile, on Oct. 24 said it has received US$15 million investment from Partners For Growth, the private equity arm of US-based SVB Financial Group. With the secured funds, Yello Digital Marketing said it plans to invest in purchasing shares of its affiliates to consolidate control within the group. “Through this investment, we have received high marks on our business model, which combines various

Oct. 24, 2016

[THE INVESTOR] Hyundai Motor’s flagship compact sedan Avante became the fourth best-selling car among 1,382 models in 2015, selling 913,152 units globally, industry data showed on Oct. 24. Toyota’s Corolla nabbed the top spot selling 1.49 million units, followed by Volkswagen Golf with 950,235 units, and Ford F Series pickup, with 921,785 units, according to data compiled by the Best Selling Cars Blog, which provides statistics on auto sales around the world. Avante, marketed as Elantra in some

Oct. 24, 2016

[THE INVESTOR] A possible merger between South Korea’s No. 2 container liner Hyundai Merchant Marine and its larger local rival Hanjin Shipping appears to be not so lucrative, as it is expected to create an entity ranking only 38th out of 5,000 global vessel operators, according to data from VesselsValue, a UK-based shipping valuation firm. 　“If HMM & Hanjin merged, they would have a combined fleet value of $2.1 billion,” said Claudia Norrgren, head of public relations at VesselsValue in an emai

Oct. 21, 2016

[THE INVESTOR] Hyundai Merchant Marine is mulling acquisition of Hanjin Shipping’s terminal in Algeciras, Spain, according to industry sources on Oct. 18. HMM seeks to purchase the entire stake in the Spanish terminal, which was put up for sale last year by debt-ridden Hanjin Shipping. Initially, the consortium of IBK Investment & Securities and Korea Investment Partners bought a 100 percent stake in the terminal of 146.1 billion won (US$129.51 million) last year. But Hanjin Shipping bought back

Oct. 18, 2016

[THE INVESTOR] HMC Investment Securities on Oct. 18 projected Hyundai Wia, the automotive parts unit of Hyundai Motor Group, will post earnings below market consensus in the third quarter. Hyundai Wia’s third-quarter sales will decrease 3.4 percent on-year to 1.75 trillion won (US$1.54 billion), while operating profit will plunge 34.8 percent to 72.8 billion won, the brokerage said. The HMC Investment Securities’ estimates are below the previous market consensus of 4.9 percent for sales and 14.8

Oct. 18, 2016

[THE INVESTOR] GE Capital has completed the sale of its remaining 20 percent stake in Hyundai Capital Services, Hyundai Motor Group confirmed in a regulatory filing on Oct. 17. GE Capital sold its stake to two special purpose entities set up solely for the purchase, Hyundai Motor said. According to sources, the transaction is valued at approximately 600 billion won (US$529.43 million). GE Capital also confirmed its exit and reaffirmed its restructuring strategy to focus on large industrial produ

Oct. 18, 2016

[THE INVESTOR] GM Korea, the Korean unit of General Motors, on Oct. 17 unveiled the new Trax that comes with an upgraded design and cheaper price tag, hoping to win customers over rivals in the burgeoning compact crossover market. “We are confident that the Chevrolet Trax, equipped with new design, safety features and specifications, can strongly appeal to the customers,” James Kim, CEO of GM Korea said at the media event in southern Seoul. “The compact SUV segment, which Trax is included in, wi

Oct. 17, 2016

[THE INVESTOR] Hyundai Motor has sacked its domestic sales chief amid a prolonged sales slump for months on its home turf. The Korean auto giant replaced Kwak Jin, executive vice president overseeing the domestic sales divison, with Lee Kwang-guk, who was previously head of the Hyundai Motor Washington Office. Kwak has been appointed as an advisor, dropping out from the management role. Lee, 53, graduated from Yonsei University with a business degree and entered Hyundai Motor. He held various ke

Oct. 17, 2016

[THE INVESTOR] Renault Samsung Motors on Oct. 13 said it has reached a final agreement with the automaker’s union that promised a pay increase, bonuses and other incentives.About 57.3 percent of 2,341 union members voted in favor of the tentative wage deal reached earlier by the union leaders and the management. The agreement came after the deal was voted down twice in September after rounds of negotiations that began in July. It also marks the second consecutive year of strikeless wage deal, th

Oct. 14, 2016

[THE INVESTOR] Kia Motors on Oct. 13 said the automaker has not yet decided on the final location of its planned auto plant in India, denying a news report claiming New Delhi is the designated site for the new facility. “We are still looking at possible sites in India,” a spokesperson from Kia Motors said. “A final decision has not been made.” The remark comes after a local news outlet reported that South Korea’s second largest automaker has decided on New Delhi for its first facility in India,

Oct. 13, 2016

[THE INVESTOR]] Hyundai Motor Vice Chairman Chung Eui-sun on Oct. 12 left for China for a last minute inspection of a new plant, highlighting the emphasis the company places on the world’s largest automotive market. The plant is set to open next week in Cangzhou, Heibei Province.Hyundai’s fourth plant in China will further boost its production capacity in China, which already accounts for a fifth of its global capabilities. The Cangzhou facility is built only 200 kilometers from Beijing, where t

Oct. 13, 2016

[THE INVESTOR] HMC Investment and Securities on Oct. 12 predicted Kia Motors will post third-quarter operating profit of 5.16 trillion won (US$4.59 billion), down 33 percent on-year. The brokerage, an affiliate of Hyundai Motor Group, estimated Kia’s sales to drop 13 percent on-year to 12.56 trillion won (US$11.17 billion). The operating profit stands far below the market consensus of 6.37 trillion won. “The decline is due to the termination of the tax cut on new car purchases that reduced domes

Oct. 12, 2016