South Korea’s Hyundai Mobis to meet U.S. activist Elliott next week

Vastavam web: South Korea’s Hyundai Mobis plans to meet U.S. activist hedge fund Elliott Management next week, two sources told Reuters, after Elliott launched a campaign to pressure Hyundai Motor Group to improve governance and boost returns.The meeting would take place in Europe as part of Hyundai Mobis’ investor conference sponsored by Citi, one of the two sources familiar with the matter said, without providing more details on what would be discussed or who would attend.

Elliott Management revealed on Wednesday that it held more than $1 billion worth of shares in three Group affiliates, including auto parts-maker Hyundai Mobis which would become Hyundai’s de facto holding company under the restructuring plan.The plan, which requires approval from two-thirds of shares that are voted, has been criticised by some investors for stripping Mobis of valuable assets and favouring the controlling Chung family at the expense of shareholders. Questions about synergies arising from the deal also have been raised.