He is Already a Tycoon at a Young Age! - Chapter 64



Only Krnovel

Episode 64

Episode 64

The office of the Pacific Investment Corporation building that moved to Yeouido.

“The stock prices of the three companies in the Jin Kyung Group have fallen and are down 5%.”

Lee Seo-jin, head of domestic investment, reported to me.

‘If only the Internet was activated?’

The stock price would have fallen further.

‘After all, newspapers have a weak ripple effect.’

Even if it is not an internet portal, a broadcasting station is in dire need. Of course, the director of the broadcasting station, who is a friend of my great-uncle, is taking the lead in continuously reporting news related to the Jinkyung Group.

“It’ll probably be even worse tomorrow.”

“Accordingly, Chairman Jin Kyung Group should be fighting back, but he is silent.”

“They still look down on it.”

“That may be true, but isn’t there a corner of faith that says something?”

“That may be true. However, the amount of shares outstanding in the three Jin Kyung Group companies that engaged in short selling exceeds 65%.”

The percentage of stocks that my grandfather, the chairman of Samjung Group, threw away like a bomb is about 4%. Of course, because Pacific Investment Corporation bought it, the stock price only fell by about 4%.

‘Making profits through short selling?’

That is not my real goal, but Chairman Jin Kyung Group thinks that I am just a short seller for profit. So he thinks that all he needs to do is succeed in the privatization of the telecommunications company in April.

‘What if I take possession of Jinkyung’s energy?’

Taean will then become a group, not a corporation. And it will expand properly based on the telecommunications company.

‘You’re saying I’m being funny?’

If you look at it funny?

Get seriously hurt.

“If you add it up until tomorrow, it’ll probably go down by about 10%.”

“If there were no Pacific Investment Corporation or other fictitious accounts, then yes. In fact, the stock price is not falling any further because I am buying at the director’s direction while shareholders are selling off through short selling and stock price declines. Director, if the stock price falls by 10% or so, will you end the short selling?”

Lee Seo-jin, head of the domestic investment division, is a person who always puts safety first.

‘If you make 10% through short selling, it’s big.’

It’s definitely not a small profit.

“Who gets 10% of the profits?”

“Then?”

“For now, the goal is 30%.”

“30%?”

“Yes, that’s right.”

“Sir, it is not easy to make a 30% profit through short selling.”

“That’s not it.”

“yes?”

“My goal is to secure more than 30% of the shares of the three core affiliates of the Jin Kyung Group that are currently short selling.”

“Yes, sir.”

“Ultimately, the competition to privatize the telecommunications companies will be a two-way race. We need to approach the chairman of Jin Kyung Group with soft words and swing the club that says I own more than 30% of the shares in the core affiliates of his group, and make him give up.” “You need a lot of money to secure more than 30% of the shares in those three core affiliates.”

“The capital I have prepared for the privatization of the telecommunications company is about 1.5 trillion won. Of that, 500 billion won will be used to secure shares. If the Jin Kyung Group gives up participating in the privatization under these circumstances, the value of the telecommunications company will fall below 1 trillion won.”

“ah!”

“The important thing is that Chairman Jin Kyung Group should continue to make light of this short selling.”

“That may change if we see continued acquisition of distribution shares.”

“Yes, that’s why I split it up and buy it under another person’s name.”

Even though the real-name financial transaction system is in effect, conglomerates still purchase stocks through illegal means. And I, too, do not hesitate to commit such illegal acts in order to win.

‘It was announced yesterday.’

Jinkyung Group and GL Group are said to have established a joint telecommunications company and are competing to be selected as the privatizer of Korea Telecom’s mobile communications division.

That made major news.

So the acquisition costs will go up.

‘You have to create a hidden card to threaten the enemy.’

Let’s see how far we can ignore this short selling.

“If that is the plan, I think it would be most effective if foreign capital participates in short selling.”

“Yes, that’s why I prepared it.”

“yes?”

“George Soros’ hedge fund saw the profits of Pacific Investment Corporation when it shorted the British pound.”

“Sir, did you say George Soros’ fund?”

“I asked for your contact information and if you are interested, I will call you.”

Actually, I’m waiting for that call.

‘Securing more than 30% of the shares of the three companies.’

And then what if we secure 50%?

You can also obtain Jinkyung energy.

Then, there is also a plus alpha.

* * *

A week later, in the office of Jin Kyung Group Managing Director Lee Jin-ho.

“Stocks of the group’s three core affiliates continue to fall.”

“How much has it fallen since the current base date?”

“It has fallen to 12%.”

It’s been over a week since the short selling was carried out.

The initial short selling amount for each of the three affiliates of Jinkyung Group was 40 billion won. Then, Jisung additionally shorted the three companies by 20 billion won each. Even so, the stock price fell by only 12%.

“What is the total short selling amount?”

“The initial short sale was 40 billion won each, and additionally, Pacific Investment Corporation conducted a short sale of 20 billion won.”

“So, the short selling amount for each affiliate was 60 billion won, but it only fell by 12%?”

Managing Director Lee Jin-ho is now beginning to question the purpose of the short selling carried out by Pacific Investment Corporation.

“Yes, that’s right.”

“With this amount of money and the news and newspapers reporting every day that the Jin Kyung Group expanded its size with special favors from the former president, why isn’t it falling further?”

“yes?”

“why?”

Rather than asking questions to the reporter in front of him, Managing Director Lee Jin-ho was asking questions to himself.

“yes?”

“No. Isn’t the real purpose of short sellers to make profits through short selling?”

“If profit is not the goal when short selling, what is the goal?” “Usually, yes, but you said that the largest shareholder of Pacific Investment Corporation is the grandson of the chairman of Samjung Group.”

“Yes, I confirmed that.”

“therefore.”

Managing Director Lee Jin-ho jumped up from his seat.

“The reason the stock price doesn’t fall further is because there is a buying force.”

“yes?”

“What is the stock holdings of the three affiliated companies held by the Chairman and his special associates?”

Managing Director Lee Jin-ho looked at the stock manager who was waiting and asked.

“The chairman owns 7.5%, and the special related party owns 2.5%. In addition, the group owns 8%, and the three friendly companies each own 12% of our shares.”

“Our stock cannot be said to be a perfect friendly stock.”

“yes?”

“If the Chairman and Jin Kyung Group headquarters lose control, it cannot be called a friendly stake. In any case, the stake held by the Chairman, his special associates, and the group combined only amounts to 18%.”

“If you take out our shareholders’ stake, that’s true.”

“In addition, there may come a situation where even the 2.5% stake held by a special related party cannot be trusted.”

Managing Director Lee Jin-ho had a feeling that something else big was happening.

“But sir.”

“why?”

It was Managing Director Lee Jin-ho who asked the stock manager in a harsh tone.

“Since yesterday, foreign funds have been purchasing shares in the group’s three core affiliates.”

“Foreign funds?”

“Yes, that’s right. It was confirmed to be an investment firm in Singapore and a large US hedge fund.”

“Large American hedge fund?”

“Yes, that’s right. Even though there was a huge short selling because they were buying, the decline was only 12%.”

“When they bought, the stock price would have fallen by more than 12%.”

“Yes, that’s right.”

“The purpose of this is not to make money through short selling.”

Managing Director Lee Jin-ho immediately got up from his seat and stormed out of his office.

‘Damn it, I told you, you should care.’

* * *

Samjung Electronics President’s Office.

“Jisung, what are you doing here?”

I confirmed through the secretary’s office that my father was in the president’s office at the Samjeong Electronics building, and then I went to see him.

“I have something to discuss with you.”

“Consultation? Business talk again?”

“Similar, but a little different.”

“The ending is different? What is it?”

“First of all, congratulations on becoming number one in market share in the mobile phone market.”

“Haha, thank you. It was thanks to you.”

My father’s position has skyrocketed as Samjung Electronics has achieved the number one market share in the global refrigerator market with kimchi refrigerators and French-door refrigerators, and now he has achieved number one domestically in the mobile phone sector, which is his father’s core business.

‘That’s why the president of Samjeong Life Insurance is really nervous.’

Until then, he was confident that he could be a competitor, but now everything has changed.

‘What if my uncle gets more greedy here?’

Will be the enemy.

And in order to realize his ambitions, he is thinking of joining hands with GL Electronics or Jinkyung Group. Of course, the reason I came to see my father today is not to talk about that.

“What have I done?”

“So what makes the conclusion different?”

“The 2002 World Cup Bid Committee was launched a few days ago.”

“Was it so?”

“Yes, so this time I want my father to run for the Korea Football Association presidency.”

My father looked at me intently at my words.

“President of the Korea Football Association?”

“Yes, father.”

“I think there are times when the title of Chairman of the Korea Football Association will be more powerful than the title of President of Samsung Electronics.”

“Jisung, is that what you think?”

“Yes, it’s not a similar situation, but Olympic IOC members are treated like heads of state.”

“But, is it really necessary for me to become the president of the Korea Football Association?”

“Not only in Korea, but people all over the world are crazy about soccer. Also, my father’s ultimate goal is to have a cell phone that can access the Internet.”

“Yes, Ji-seong, that’s my goal from your imagination.”

“It will take a long time for mobile phones with Internet access to become commercially available.”

“I think so too. So we need to prepare slowly and thoroughly and focus on developing technology.”

“I think advertising will be important along with that.”

“I don’t think that has anything to do with me becoming the president of the Korea Football Association.”

“Yes, that’s true, but I think my father’s profile will increase if he becomes the president of the Korea Football Association. And I think the football industry will also become a profitable business.”

“Everything is good, but it is safe to say that the chairmanship of the Korea Football Association is controlled by the Daehyun Group.”

“I wish my father would become the president of the Korea Football Association. So I hope he prepares for the 2002 World Cup to be held in Korea.”

“Hahaha, the World Cup is being held in South Korea?”

“Do you think it’s impossible?”

“Asia is still a wasteland for football. It won’t be easy.”

“It may not be easy, but it’s not impossible.”

My father looked at me intently at my words.

“Ji-sung, there are many people other than me who want to become the president of the Korea Football Association. As you know, soccer is a popular sport.”

“That’s true.”

“So I plan to support unpopular sports.”

“yes?”

“I think handball is good, and archery is okay too. If not, I think it would be good if Samjung Electronics supported ice sports as well.”

My father said he would not become the president of a profitable business and would support unpopular businesses.

‘No wonder you are my father.’

My father is a man who puts into practice what he says.

“You’ve made up your mind.”

“Yeah, I guess so. Ji-seong, since you like horseback riding, I think the horseback riding association would be a good fit for you.”

“Father, I will never become the president of the Korea Equestrian Federation.”

I was so surprised that I raised my voice without realizing it.

* * *