Hyundai won’t build the Apple Car for the Cupertino-based iPhone maker, but as it turns out, the company has another reason to be worried about right now.
According to a report from Reuters, the South Korean authorities are planning to launch an investigation in order to determine if Hyundai made any profit following the talks, as the shares of the company skyrocketed after the carmaker itself spilled the beans on the negotiations.
While Apple has tried to keep all details secret, Hyundai itself publicly confirmed earlier this year that it was discussing the manufacturing of an electric vehicle with the American company. This public acknowledgment of the talks caused a major increase in Hyundai’s share value, with the growth at one point reaching 21 percent, before eventually declining when the company denied the discussions.
But South Korea’s Financial Services Commission wants to check if the company’s executives made any profit between the moment the discussions with Apple were announced and the one when they were denied.
“Reviews are to examine whether there is any suspicion (of wrongdoing) or not,” a spokesperson was quoted as saying by the cited source. “The length of such reviews varies with each case, and the exchange will communicate findings to the FSC.”
While no official information has been provided as to whether Hyundai’s executives made any stock trading during the said period, Reuters notes that several company employees traded approximately 3,400 shares, all worth over $750,000.
Interestingly, the talks between Hyundai and Apple are believed to have been dropped by the iPhone maker itself, and the reason is as simple as it could be: going public with vital information on a project is not its favorite cup of tea, and Apple seeks a partner that would be able to keep every little detail away from the eyes and ears of the press.
At this point, Apple is believed to be still on the market looking for a carmaker to build the Apple Car, as the company has recently been shot down by Nissan due to divisions over branding.
While Apple has tried to keep all details secret, Hyundai itself publicly confirmed earlier this year that it was discussing the manufacturing of an electric vehicle with the American company. This public acknowledgment of the talks caused a major increase in Hyundai’s share value, with the growth at one point reaching 21 percent, before eventually declining when the company denied the discussions.
But South Korea’s Financial Services Commission wants to check if the company’s executives made any profit between the moment the discussions with Apple were announced and the one when they were denied.
“Reviews are to examine whether there is any suspicion (of wrongdoing) or not,” a spokesperson was quoted as saying by the cited source. “The length of such reviews varies with each case, and the exchange will communicate findings to the FSC.”
While no official information has been provided as to whether Hyundai’s executives made any stock trading during the said period, Reuters notes that several company employees traded approximately 3,400 shares, all worth over $750,000.
Interestingly, the talks between Hyundai and Apple are believed to have been dropped by the iPhone maker itself, and the reason is as simple as it could be: going public with vital information on a project is not its favorite cup of tea, and Apple seeks a partner that would be able to keep every little detail away from the eyes and ears of the press.
At this point, Apple is believed to be still on the market looking for a carmaker to build the Apple Car, as the company has recently been shot down by Nissan due to divisions over branding.