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S.Korea's Hyundai Mobis aims to separate key businesses into new units

Published 08/18/2022, 03:11 AM
Updated 08/18/2022, 04:40 AM
© Reuters. FILE PHOTO: The logo of Hyundai Mobis is seen during the 2019 Seoul Motor Show in Goyang, South Korea, March 28, 2019.    REUTERS/Kim Hong-Ji
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SEOUL (Reuters) -South Korean auto parts maker Hyundai Mobis Co Ltd said on Thursday it was considering separating its modules and key parts production businesses into new wholly owned units in an effort to enhance each segment's expertise and maximise efficiency.

Hyundai Mobis, an affiliate of automaker Hyundai Motor Co, said in a regulatory filing it aims to hold a board meeting in September to approve plans to separate the businesses, expected to be launched in November.

© Reuters. FILE PHOTO: The logo of Hyundai Mobis is seen during the 2019 Seoul Motor Show in Goyang, South Korea, March 28, 2019.    REUTERS/Kim Hong-Ji

The new units will be in charge of manufacturing operations, including facility and labour management, while the central management of the company will be focusing on securing future mobility technologies, as well as developing new products.

Shares of Hyundai Mobis closed down 3% at their lowest since July 13 while the benchmark KOSPI fell 0.3%, before Hyundai Mobis disclosed its plans.

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