The Magician’s Memorial - Chapter 349
Only Krnovel
349. Two Track (3)
A ranch larger than the entire Naju Plain.
Moreover, it is a land where oil will burst forth if you dig into the ground.
When they said they would purchase the land that would produce these golden eggs, CEO Han actively agreed.
“If it’s land like that, you have to buy it unconditionally. If you just operate the oil well, wouldn’t you be able to make your money within a few years? But why are you selling such land?”
“This is the same reason why large corporations often have management rights disputes and share wars.”
“The cause is a fight over shares between the heirs.”
I got a lot of information through Austin.
I contacted David and obtained additional information.
The Wagner family owns the largest ranch in Texas.
Just 20 years ago, the land was twice as large as it is now, but the size has gradually become smaller over the generations.
And in the end, it came to the point where the entire ranch was sold.
“Currently, two groups are co-managing the ranch. Since joint management is difficult, we suggested dividing the land in half, but the other side said that instead of doing that, we should sell the entire ranch and split the money half-and-half.”
“Well, even if you divide the land in half, there will always be arguments. There will be a 100% fight over which side is worth more. If you divide it in cash, there will be no backlash.”
Thanks to our fight, a good opportunity came to us.
The more land we have available for shale gas development, the easier it will be for us to plan ahead, and the better we can gain in relationships with oil refineries.
“The two co-managers must come up with an amount that will satisfy them.”
“We need to know roughly how much the land is worth before we can suggest a price.”
“I found out the price of the property through David. He said it was around 600 to 700 million dollars.”
“700 million dollars is more than 1 trillion won. I can’t believe it’s a ranch worth more than 1 trillion won.”
What ranch in the world would be worth 1 trillion won?
The amount was possible because the land was so large, and it was also the amount set because the land contained oil.
“Here are the details.”
“Let me see if it’s worth 1 trillion won.”
At first, it was a CEO who just approved.
However, when I heard that the price of the ranch was over 1 trillion won, my eyes lit up and I started looking at the data.
He analyzed the data for over an hour.
In the meantime, I washed off the alcohol from the night and had a proper hangover with ramen.
Slurp!
As the spicy and warm soup entered my stomach, I felt like I could finally live.
After all, hangover is a soup! What kind of hangover do you do with bacon and sausage?
“Chairman, the analysis is complete.”
“How does it seem worth 1 trillion won?”
“The current profitability is estimated to be around 5%. If oil fields are further developed and utilized for shale gas development, profitability could rise to 15%.”
“It’s not that profitable.”
Even if you put it in the Taewoo Securities fund, you could earn more than that.
However, the Wagner Ranch had hidden value that could not be calculated solely through profitability.
“If you use it for the purpose of taking the lead in shale gas, it is not that much of a loss.”
“Then I guess we can buy the Wagner Ranch.”
“The land can be resold. And you can comfortably spend about 1 trillion won.”
If you buy land with a loan, interest will be a problem.
There was no problem if we bought the land with the cash we had.
“Then let’s buy the Wagner family ranch. I’ll have to contact Austin right away.”
“I think you can purchase it through David. Or, it’s okay if I proceed.”
“For Austin’s sake, it would be better for me to do it myself. I might sign the contract right away, so President Han, please prepare the contract and wait.”
* * *
He also told me to remove the ox horn as soon as possible.
The very next day, I had a meeting with Austin and the co-managers of the Wagner family.
“It’s been a while. It’s so hard to see your faces in Texas.”
“You run the ranch yourself, but we hire experts to run the ranch, so what’s the point of seeing your face?”
It was the Austin and Wagner families, who didn’t seem to get along very well.
Austin was full of pride in Texas, so it was natural for the Wagner family to feel displeased.
“Well, I am no different from you anymore. I have decided to hand over the right to use our ranch to the Taewoo Group.”
“I never imagined that the old man would make such a decision. I guess his thoughts have changed a lot since he valued the ranch more than his life.”
“Just know that there is something more important than life. And it seems like the Taewoo Group is interested in your ranch, so we arranged this event today.”
Austin steps back.
I quickly stepped forward and exchanged greetings with the Wagner family.
“Nice to meet you. My name is Minjae Kim from Taewo Group.”
“This is how I get to meet a famous person. I’ve heard a lot about it on Wall Street.”
“I once saw a scene where Apple introduced the Apple Car at a new product presentation. I thought you only worked on Wall Street and IT, but you were also interested in ranching.”
I shook hands with the two co-managers in turn.
Although they were born as descendants of ranchers, they seemed to be more interested in Wall Street and the IT industry.
That actually helped me more.
Because I no longer need to explain myself.
“I heard that the Wagner Ranch is being sold.”
“I don’t want to sell it, but the court is telling me to do so, so there is no way. I don’t understand why they want to sell the land left behind by our ancestors.”
“Then does it make sense to run it jointly like we do now? Let’s just divide it neatly with money and look forward to seeing it with a smile from now on.”
They were co-managers with deep emotional ties.
Although they were a family born from the same bloodline, the Wagner family.
Originally, when it came to money issues, families tended to get along worse than others.
“I heard that the Wagner family contacted a professional company to evaluate the value of the ranch.”
“You are saying that you will purchase the ranch at that price. Still, it is not a ranch worth a penny or two, so shouldn’t you get it properly evaluated again before selling it?”
“And there are quite a few people interested in the Wagner Ranch. Shouldn’t we try to compete with them on price as well?”
Although they seemed to be on bad terms.
I was on one side when it came to the value of the ranch.
“We will give you $700 million in cash within this week. Isn’t Taewo Group the only company that can offer such conditions?”
“Would you like to deposit the entire amount in cash by this week?”
“If you want, we can withdraw it in cash. And $700 million is a bit higher than the company’s valuation. Is there anyone who can offer a higher price than us?”
If there is price competition for no reason, it becomes tiring.
Of course, even if there was price competition, no one would charge more than $700 million.
Even if there were, there was a high possibility that there would be conditions for payment in installments.
“You must be hot because you lead the Taewoo Group. You are the first person to offer to give $700 million in cash at once.”
“Why are you saying that? Think about it before you speak.”
Even if I tried to hastily stop him, I couldn’t pick up what he had already said.
We confirmed that we were the only ones who offered to pay $700 million in cash at once.
If so, we could have led the negotiations from an advantageous position.
“There won’t be many places that can pay $700 million in a lump sum. Of course, if you create a long-term competitive environment, it may be possible, but think about the fact that you can get more profit by taking $700 million now and just collecting the bank interest. ”
“What I’m saying is think about opportunity cost.”
“What are you going to do? I don’t think there’s anything wrong with accepting Taewoo Group’s offer, right?”
The one who was desperate for money took the bait first.
They were the ones who insisted on selling the ranch and making cash, and they seemed to need a lump sum of money right away.
“Could Mr. Austin please be a witness?”
“Of course it is possible. But there won’t be a need for a witness. Mr. Kim is the person who will make the deposit as soon as the contract is stamped.”
“You can sign a contract now, and once the detailed contract is finalized, you can make the deposit the next day. If you want, you can also make the deposit the moment you stamp the contract.”
Co-managers looking at each other.
The one who was especially tight for money was giving me a sad look, and the other co-manager was reluctantly nodding.
“Okay, then let’s sign the contract.”
“Our staff will bring the contract shortly. Please wait a moment.”
“Are you saying we should sign the contract right now?”
“There is no benefit in wasting time. It just clutters your head.”
“That’s right! I feel at ease when something like this gets resolved quickly.”
I guess money is really tight.
I quickly called a CEO who was waiting in the car.
When a CEO appeared with a contract in hand, one of the co-managers who had experience working on Wall Street made a fuss.
“Aren’t you Mr. Han, the CEO of SAVE Investment Company? It’s an honor to meet you like this.”
“I’m honored that you recognize me.”
It was a CEO who handed out contracts with a smile.
The impatient co-manager took the contract out and showed it to a person who appeared to be a lawyer.
“Let me formally greet you. My name is Beryl, and I run Cannon Investment Company on Wall Street. I have heard about SAVE Investment Company several times.”
“My name is Han Jeong-hoon, who used to be at SAVE Investment Company, but is now the president of Taewoo Securities.”
Beryl, the co-manager, looked at President Han with envious eyes.
Certainly, his popularity was quite high, perhaps thanks to his active work on Wall Street during his time at SAVE Investment Company.
“If I had known that Boss Han was waiting, I would have greeted him in advance. I apologize for greeting him late.”
“Wouldn’t it be okay to say hello gradually? First, look at the contract, and then set aside time to talk about personal things at length.”
“Please wait a moment. I will send the contract to the law firm to confirm.”
The contract we prepared was very simple.
Instead of owning everything on the Wagner Ranch, we pay $700 million.
Of course, additional detailed contracts had to be signed, but it wasn’t a major problem.
Therefore, the two co-managers were able to return after receiving all the advice before an hour had passed.
“The lawyer and accountant say there is nothing wrong with the contract. I want the contract to proceed as is.”
“I also received advice from a law firm, and they said there was nothing wrong. And since the contract was brought directly by the CEO, one of the legends of Wall Street, what problem could there be?”
When did a CEO become a Wall Street legend?
Well, legends can change depending on people’s opinions.
“Then, we will proceed with the contract. The detailed contract will be coordinated with the legal team.”
“Whew! I feel relieved. If I had sold it a long time ago, I wouldn’t have had to go through this trouble.”
“Once the contract is over, I would like to treat you to a meal. Please contact me whenever it is convenient for you.”
Two co-managers quickly signing a contract.
I looked at the CEO and nodded, and he sent a text message to Dimon from the fintech bank.
“Check your accounts now. $350 million has been deposited into both of your accounts.”
“Already? I guess this is why I have to sign a contract with a large company. I’m glad it’s quick. Then, I’ll just leave.”
The co-manager, who was desperate for money, left first.
But Beryl, the other co-manager, looked at us in turns without getting up.
“I want to invest the deposited $350 million. I don’t know what kind of business they are doing by purchasing the Wagner Ranch, but I also want to participate.”
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