Unlisted Company Hyundai Capital to Repurchase 11.2 Billion KRW Worth of Treasury Shares

Decided to Buy in Preparation for Prolonged Non-Dividend Policy Trend

Hyundai Capital has decided to repurchase its own shares worth 11.2 billion KRW.

Hyundai Capital announced on the 4th that it has decided to buy back 222,673 of its common shares. This represents 0.22% of the total issued shares as of the first quarter of this year. The purchase price per share is 50,287 KRW, totaling approximately 11.2 billion KRW. This price is about 14.5% higher than the 43,918 KRW per share price when the Kia special purpose entity acquired 20% of Hyundai Capital’s shares in 2021.

The repurchase will be conducted by notifying existing shareholders before buying the shares. As an unlisted company, Hyundai Capital’s shares as of the first quarter are held 99.78% by major shareholders Hyundai Motor Company (59.68%) and its affiliate Kia (40.10%). The 131 minority shareholders hold only 0.22% (222,673 shares), which is the same amount as the shares planned for repurchase. The acquired treasury shares will be canceled.

The application period for this treasury stock transfer is from September 1 to September 20. The payment for the sold shares will be made collectively to the applying shareholders on September 27.

A Hyundai Capital official explained, "With the continuous expansion of domestic and overseas businesses, the likelihood of a prolonged no-dividend policy has increased, so we decided to repurchase our shares to enhance shareholder value realization with greater interest and commitment."