Hyundai and its affiliate Kia Motors will triple their total number of fuel-efficient vehicles by 2020, addressing concerns about their green track record and desire to compete in the EV market.
Investors have voiced their displeasure with Hyundai's latest Genesis and Kia's Soul for having lower fuel mileage than their predecessors. They also were hit with a $350 fine in the United States for overstating fuel economy.
"Investors have complained about Hyundai's lack of shareholder-friendly policies and communication about its vision, especially after the land deal," said analyst Yim Eun-young of Samsung Securities, according to Reuters.
The announcement comes just a week after Hyundai and Kia said it would raise the fuel economy of their vehicles by 25 percent by 2020 in order to meet emissions regulations in the U.S., Europe and South Korea.
On Tuesday, the pair said it would buy back 670 billion won ($615 million) worth of shares, in what is being regarded as an attempt to please investors angered by a $10 billion bid for property to build a new headquarters, according to Reuters.