Auto Giant Set to Emerge as Major M&A Player

Hyundai Motor is bringing in M&A talent to expand its pool of human resources in  future innovation sectors.
Hyundai Motor is bringing in M&A talent to expand its pool of human resources in future innovation sectors.

Hyundai Motor is likely to emerge as a major player in the merger and acquisition (M&A) market.

According to the investment banking (IB) industry on April 25, Hyundai Motor has been hiring M&A professionals since March. This marked the first time that Hyundai Motor brought in M&A talent after vowing to actively expand human resources in the future innovation sector in May last year.


Talent hired by Hyundai Motor will be given the job of generally managing deals as deal captains. As managers of new business strategy at the Strategy Support Division, they will oversee strategies and processes for all areas including M&As, joint ventures (JVs) and strategic investment. They will also be responsible for training junior-level employees regarding the valuation of the companies to be acquired, analysis of effects for the future expansion of the Hyundai Motor brand, various accounting and legal reviews, and M&As.

In addition, Hyundai Motor is also hiring working level talent and investment reviewers who will analyze M&A effects and related value. "They will be in charge of work such as nurturing start-ups in the company," a Hyundai Motor official said.

Hyundai Motor has thus far developed new technology on its own in line with its vertical integration strategy. However, it seems that in the era of the 4th Industrial Revolution, the company has drawn up a plan to rise to the global level not only by means of in-house technology development, including nurturing start-ups, but through the introduction of innovative technology from the outside.

In fact, Hyundai Motor's cash and cash equivalents stood at 8,800 billion won as of the end of last year. Industry experts say that the company secured enough funds for M&A deals, each of which will cost more than one trillion won.

Analysis says that the new business sector to be entered by Hyundai Motor will be a harbinger of its future M&As. At present, Hyundai Motor is also looking for talent who will plan business strategies related to healthcare and connected cars, simple payment solutions in addition to M&A talent.

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