He is Already a Tycoon at a Young Age! - Chapter 63



Only Krnovel

Episode 63

Episode 63

Pacific Investment Corporation Korea Branch Office.

The luxury apartment is still being used as the Pacific Investment Corporation Korea branch office, but since I don’t have to go to school during the day, I plan to move the Pacific Investment Corporation Korea branch office to a building in the heart of Yeouido.

“By the day after tomorrow, this apartment will be cleared out and the investment corporation will move to a building in Yeouido.”

With all the investment firm employees gathered here, even the spacious living room of this apartment feels small.

“I will prepare it right away.”

Team leader Lee Seo-jin said to me.

“And as you have informed, since I no longer need to go to school during the day, the investment meetings will be held in the morning.”

“Ah, hahaha! Now I can finally enjoy dinner.”

Investment manager Han Jun-ho immediately smiled and said.

“That’s all for now. Now, I’ll report on the investment matters.”

I saw investment manager Han Jun-ho.

“Sir, these days, the media in South Korea is joining forces to attack the Jinkyung Group.”

That’s why abilities are important.

“Yes.”

“And the former president’s trial sentence has been finalized. The amount of fines the former president must pay is a whopping 650 billion won. Wow, it seems like he’s had a lot to eat.”

“So?”

“I have judged it myself and asked expert analyst Kim Eung-soo to analyze it, and he said that it is highly likely that the Jin Kyung Group will bear a significant amount of the former president’s additional tax. If so, I think now is the time to short sell the Jin Kyung Group’s core affiliates.”

I was going to point this out at the meeting today.

‘That’s why I don’t mind giving them performance bonuses.’

Because sometimes, when I’m about to do something, they suggest investing first like this.

“Does Analyst Kim Eung-soo think so too?”

I asked analyst Kim Eung-soo, who was standing still.

“The Jinkyung Group expanded significantly during the former president’s term. No matter how much it grew through special privileges, the group could not have grown to this extent without slush funds flowing in. And even if slush funds did not flow in, the Jinkyung Group can only remove the stigma of collusion between politics and business only if the former president pays all of the additional taxes, so I am sure he will pay a considerable amount instead.”

“Actually, I think so too. At today’s meeting, I was planning to instruct the investment managers to short sell Jin Kyung Group affiliates. I really like that you are able to judge the situation accurately.”

“Sir, in that case, how much short selling should we do?”

Team leader Lee Seo-jin asked me.

“This is a large-scale short sale worth 120 billion won.”

Everyone was surprised by what I said.

“If that much money is invested in short selling, isn’t it literally an all-out war?”

Investment manager Han Jun-ho told me.

“Yes, if you say all-out war, then it is all-out war.”

“So now you’ve declared war by short selling. Hahaha!”

“War has already been declared.”

Analyst Kim Eung-soo and newly hired stock monitoring team leader Jang Tae-sik nodded in agreement with my words.

“Samjung Group and a significant number of shareholders have sold stocks in key affiliates of Jinkyung Group. Accordingly, war has already been declared.”

Jang Tae-sik, head of the stock monitoring team, said.

Everyone saw him.

“Currently, the stock prices of the three core affiliates of Jin Kyung Group have fallen by 3%.”

“Then, what will happen to the Jinkyung Group, led by Jang Tae-sik, the head of the stock monitoring team?”

“I think that Chairman Jin Kyung Group, thinking of Samjung Group as an enemy, will immediately respond by defending its stocks and using the group’s reserve funds to buy the company, thinking that this is an opportunity to secure a controlling stake.”

“I think so too.”

“So, in the end, it was you, Director, who moved the Samjeong Group.”

The Fleet Road investment manager told me.

“Yes, because the war has already begun.”

At that moment, an employee of analyst Kim Eung-soo came into the living room and whispered in analyst Kim Eung-soo’s ear.

“Sir, I think you should watch some TV.”

“Isn’t that the news that Jin Kyung Group and GL Group established a joint corporation to privatize the mobile communications division of Korea Telecom?”

My prediction surprised both expert analyst Kim Eung-soo and the rest of the staff.

“Yes, I am really surprised that you predicted that, sir.”

“I knew something like this would happen, so I told my grandfather. And then I decided to short sell.”

“Sir, if GL Group establishes a joint venture to provide financial support to Jinkyung Group in the public bidding for the privatization of the telecommunications company, the privatization funds of the telecommunications business division will increase. Now, in the past, you and Taean Telecommunications may suffer in reverse.”

Kim Eung-soo, a specialist analyst, told me.

“I’m being hit?”

“Yes, when GL Electronics acquired Korea Semiconductor, it acquired it for three times the valuation of Korea Semiconductor. Even if it is not that much, the acquisition funds of the telecommunications division will increase.”

“So you prepared enough.”

“One trillion might not be enough.”

“There is an additional 300 billion in plus funds. And we plan to secure more than 200 billion in this short sale.”

“Sir, are you sure that short selling will be successful?”

At that time, Team Leader Lee Seo-jin spoke to me with a look in his eyes that said that he could not guarantee that the investment would be 100% successful.

“I can’t guarantee 100% success in the investment, but Pacific Capital in LA will also provide funding. At the very least, the group reserves of Jin Kyung Group and GL Group will be significantly consumed. I can estimate that it will be over 1 trillion won, but since the funds consumed by this short selling will be significant, I think the acquisition funds will be decided within 1 trillion won. Therefore, I think that the team of expert analyst Kim Eung-soo should thoroughly analyze whether there are any issues. There may be a situation where I need to secure additional funds.”

The place to get additional funds is Young Unemployed.

‘The Chinese Navy will have contacted us by now.’

[The Chinese Navy won’t be able to come forward directly, so they’ll approach my uncle through a Chinese private company.]

[Selling aircraft carriers?]

[You can’t afford to keep both. So you have to sell one of the two aircraft carriers to a Chinese private company. In the worst case scenario, you could sell both of them.]

[If a Chinese private company acquires an aircraft carrier, even though it is said to be a scrap ship, and hands it over to the Chinese Navy, wouldn’t the naval power increase?]

[I know, but South Korea doesn’t have enough defense budget to own an aircraft carrier, and it doesn’t have any intention of owning one yet.]

[How much should I sell it for?]

[If you want both ships, you’ll have to pay $500 million.]

[Wow! How many times will this business make a profit?]

[That’s right. Anyway, tell them you can’t sell it for less than 500 million dollars.]

[China really needs an aircraft carrier.]

[yes.]

[I’ll ask for up to 700 million dollars. If there’s an opportunity to make money, I’ll make as much as I can.]

If his second uncle, Hyuk, who is the president of Young Industrial, succeeds in reselling the two aircraft carriers to a private Chinese company, he will secure at least $500 million.

‘That money is additional investment money.’

In addition, Taean Industrial received $30 million from South Korea as commission for the first Bear project sent from Russia, and $27 million, which is 10% of $270 million, from the Russian government, so $50 million from there can be invested in Taean Telecom.

Of course, since it was the first Bear project, the Russian government actually received 50% of the 270 million dollars.

In addition, even if you sell some of Taean Telecom’s shares, you can secure funds beyond imagination.

‘1 trillion?’

That means I can prepare up to 3 trillion.

“Everyone, pay attention.”

At my words, the investment manager and the rest of the staff looked at me.

“Jin Kyung Construction and Jin Kyung Energy will each enter into short selling worth 40 billion won each for Jin Kyung Videotape. This short selling will be handled by Lee Seo-jin’s team and investment manager Ham Dae-gil.”

At my words, Han Jun-ho, the investment manager, looked at me with an expression that said he did not understand.

“Sir, wasn’t I supposed to be doing it?”

“Investment Manager Han Jun-ho has been promoted to head of the investment team specializing in U.S. IT-related companies.”

“Oh, thank you.”

“Accordingly, Team Leader Lee Seo-jin became the head of the domestic investment division.”

If Han Jun-ho’s title goes up, then naturally Team Leader Lee Seo-jin’s title should go up as well.

‘Take Han Jun-ho to America.’

Among the four investment managers, Han Jun-ho is the one who makes the most aggressive investments.

* * *

The next day, in the Jinkyung Group Chairman’s office.

“What did you say?”

“Short selling worth 40 billion won was carried out on Jinkyung Construction, Jinkyung Energy, and Jinkyung Videotape.”

“Where are you? In the US? Or in Japan?”

The domestic media is covering the issue of the president’s slush funds every day.

In addition, the stock price fell to 3% yesterday as the Samjung Group sold off its stake in the Jinkyung Group. Of course, as Ji-sung expected, the chairman of the Jinkyung Group, who joined hands with the GL Group, used some of the group’s reserve funds to purchase the stocks that were put up for sale.

“Surprisingly, it is a domestic investment specialist company.”

“Domestic investment company?”

The chairman of Jin Kyung Group couldn’t help but be shocked.

The three companies that Ji-sung shorted were sound subsidiaries of the Jin-Kyung Group that were generating profits.

“You’re crazy.”

“Just the fact that short selling took place caused the stock price to drop slightly again today.”

“The word ‘short selling’ scared even the ants. This is why the ants keep getting stepped on. Tsk tsk! You have to look at the value of the company.”

It was the chairman of Jin Kyung Group who didn’t really care yet.

“Since you said it is a domestic investment corporation, check where it is and who is actually receiving the investment money.”

“This is Pacific Investment Corporation.”

“Pacific Investment Corporation?”

“Yes, the largest shareholder is the grandson of the chairman of Samjung Group.”

“Samjeong Group? They really want to go to war with me over the telecommunications company. That’s why the GL Group Chairman is gritting his teeth.”

“We need to be prepared. If we leave short selling alone, we don’t know how far the stock price will fall. On top of that, we will have to pay a significant amount of the additional fine.”

“I got the 1st group right?”

“Unfortunately, the three companies have over 65% of their shares outstanding. If Samjung Group and Pacific Investment Finance chose short selling as their first attack to gain control of the company, problems could arise later.”

“Director Lee Jin-ho.”

“Yes, sir.”

“This is South Korea. Hostile takeovers are not easy. They are just trying to shake things up. It is probably a trick to dry up the funds for the acquisition of a telecommunications company as much as possible. I heard they spent 100 billion won yesterday on a treasury stock purchase.”

“Mr. Chairman, I would like to remind you again that the outstanding shares exceed 65%.”

“Okay, Director Lee Jin-ho, please take a look at it with interest. Let’s do that for now. There are less than three months left.”

“Yes, I understand.”

Managing Director Lee Jin-ho responded that he understood.

‘If we keep doing this, what we can stop with a hoe might not be stopped with a sickle.’

* * *