SEOUL -- The chairman of Hyundai Motor Co. has recently boosted his stake in the South Korean carmaker to strengthen management control over the company, and plans to buy more shares, Hyundai said on Friday.
Chung Mong Koo, a son of the automaker's founder, bought 1.75 million shares in Hyundai Motor over the past three days on the market, the company said in a filing with the Korea Stock Exchange.
As a result, Chung's stake in the country's biggest car maker has risen to 5.2 percent from 4.4 percent.
"It was intended to reinforce his managerial rights as the single largest shareholder of our company," said Jake Jang, a Hyundai spokesman. "He will continue buying shares in our company until he reaches a level enough to secure a stable management right."
The share purchase came after DaimlerChrysler AG was granted an option to acquire five percent of Hyundai from September, in addition to its current 10.5-percent stake.
The German-U.S. carmaker has not announced any immediate plan to exercise the option.
Recently, DaimlerChrysler and Hyundai have been in dispute over a joint venture in China and talks to set up a truck joint venture in South Korea have come to a halt.
Former units and affiliates of Hyundai Motor hold a combined 26-percent interest in the automaker.
Automotive News and Reuters contributed to this report.