There's absolutely no reason why it can't.
Hyundai's new N division has, so far, given us the i30 N and Veloster N, although only the latter will be sold in the US. Under the direction of longtime BMW M division veteran Albert Biermann, Hyundai N is literally a blank slate begging for product. Speaking with Top Gear, Biermann has admitted that at least some of that future product could be filled by an N brand only sports car. A bespoke sports car created just how Biermann wants it? We're so down for that. Especially as his "degree of freedom here is much bigger than at BMW."
"We have been working on this," Biermann said. "Like the Racing Midship, which we've done three versions of. We are still working on these cars, trying different things. Maybe somebody we will have such a car. There is no decision yet, but it could happen." What's very promising is the freedom Biermann and his team have. "I have to fight like crazy for every car (at M). Here I am more than welcome to do whatever I think we need to do." If you don't recall, the Racing Midship was an experimental vehicle that was, more or less, a mid-engined Veloster. Biermann, forever the engineer, is not all about lots of power under the hood (or wherever the engine is located), but rather how the car handles given the amount of power it has.
"It always comes back to the philosophy of the car, and there is no big change for me coming from rear- to front-wheel drive. Of course, the i30N doesn't have tons of power, but the way we develop this car is clearly following the high performance spirit." Biermann couldn't provide a time frame as to when (or if) a dedicated N sports car could arrive, but he also rightly pointed out that Hyundai's sales network still lacks experience with performance cars and requires more time to learn this segment. "If we started with a bespoke car in the first place, people would have no idea what to do with such a car."