Market rumors are circulating that Hyundai Motor is looking to acquire the world’s seventh-largest auto manufacturer Fiat Chrysler Automobiles despite the automaker’s vehement denial. And a local analyst said Tuesday that Korea’s largest auto company would leap forward to become the world’s No. 1 if the deal goes through.



Lee Jae-il, an analyst in charge of automobiles at Eugene Investment & Securities, said in a report that Hyundai Motor would benefit from the acquisition due to an expanded portfolio and high consumer awareness of FCA brands in the US and Europe.



The merger would bolster Hyundai’s position as the world’s leading automaker by sales based on the performance of the Korean auto company and the FCA, which sold a combined 11.5 million units last year, he said.



“Hyundai is denying the merger, but the need to acquire a company is higher than ever due to the crisis in the Chinese and US markets.



“The possibility of Chinese automaker Great Wall Motors acquiring Jeep has been suggested, and Hyundai Motor has also surfaced as a possible buyer,” he added.





Hyundai Motor’s headquarters in southern Seoul. (Yonhap)