Hyundai Mobis to spend $2.3 bln on shareholder returns, name heir apparent as new CEO (updated)

Hyundai Glovis

26/02/2019 07:25

(Adds background)
    SEOUL, Feb 26 (Reuters) - Hyundai Mobis Co Ltd  012330.KS ,
an auto parts affiliate of Hyundai Motor Co  005380.KS , on
Tuesday announced a plan to offer shareholder returns worth 2.6
trillion won ($2.32 billion) over the next three years and to
appoint group heir apparent Euisun Chung as chief executive.
    The plan comes after Chung early in January pledged to
complete a restructuring of South Korea's second-biggest
conglomerate, which is widely expected to pave the way for him
to formally succeed his octogenarian father as head of the
group.
    Last year, the group's plan to overhaul its ownership
structure was shelved following opposition from U.S. hedge fund
Elliott Management Corp.
    The plan by Hyundai Mobis includes dividends worth 1.1
trillion won, a buyback of stocks worth 1 trillion won and a
cancellation of 460 billion won worth of shares.
    The parts supplier also said it will appoint Opel former
Chief Executive Karl-Thomas Neumann as an outside board
director.   
($1 = 1,118.6300 won)

 (Reporting by Hyunjoo Jin; Editing by Christopher Cushing)
 ((hyunjoo.jin@thomsonreuters.com; 82-2-3704-5685; Reuters
Messaging: hyunjoo.jin.thomsonreuters.com@reuters.net))