According to a recent report, Hyundai is developing a rear-wheel drive sedan to battle the BMW 3-Series.

According to a recent report, Hyundai is developing a rear-wheel drive sedan to battle the BMW 3-Series.

Automotive News is reporting the model is being developed under the RK codename for a possible 2016 launch.

Little else is known about the car but it will reportedly be larger than the 3-Series and feature styling inspired by the HCD-14 concept that debuted at the North American International Auto Show earlier this year.

Engine options remain unconfirmed but speculation suggests the model could be equipped with either a turbocharged 2.0-liter four-cylinder or a 3.3-liter V6. The four-cylinder develops 274 hp (204 kW) and 275 lb-ft (373 Nm) of torque in the Genesis Coupe, while the 3.3-liter V6 churns out 293 hp (218 kW) and 255 lb-ft (345 Nm) of torque in the Azera.

Hyundai developing a BMW 3-Series rival - report