Hyundai-Kia Launching Finance Unit in Germany

Hyundai Motor Co. and its Kia Motors affiliate are launching their own captive finance unit in Germany. The business will help dealers buy vehicles and provide in-house financing to retail buyers.

The carmaker’s financial services in at least eight other western European markets has been provided by Santander Consumer Finance since 2010.

The South Korean carmaker has begun by establishing the Hyundai Capital Bank Europe in Frankfurt, Automotive News Europe reports. The bank is launching with initial capitalization of €67 million ($72 million). The enterprise has been fully licensed by the European Central Bank, which will enable it to expand its operations into other EU member countries.