Still, I Will Live As The Son-In-Law Of A Conglomerate [EN]: Chapter 185

185. 52nd. The Feast Should Be Shared (4)

Shortly after.

Jang Ho-kyung was startled by Jo Young-chan’s call.

“You’re not participating in this acquisition?”

Jang Ho-kyung couldn’t believe what he had just heard. Hae-dong Group’s financial arm, the financial company with the most overflowing money in the country, has no intention of participating in the acquisition of Dae-ju Group’s financial affiliates?

“Is that true, Vice Chairman Jo… sir?”

[Yes, Chairman Jang. Director Lee told me that she received a request from CEO Jang of Korea Hotel not to participate in the acquisition. She said that her aunt should also grow her business.]

Another shock hit Jang Ho-kyung hard. Jang Ha-yeon, whom he had used whenever he wanted to irritate Jang Ho-geon, was thinking of him?

Jang Ho-kyung narrowed his brows and asked, squinting.

“Are you serious? Later…”

[Let’s trust each other, Chairman Jang. Director Lee pleaded so earnestly on behalf of CEO Jang that we withdrew. Are you ignoring the sincerity of your nephew and his wife?]

“It’s not that, but…”

Jang Ho-kyung couldn’t understand why his nephew and his wife were being considerate of him. Then, Jo Young-chan’s words reached him.

[I heard that CEO Jang isn’t close to his wife’s brothers. So, he must have conceded to be friendly with Chairman Jang’s family.]

It wasn’t exactly wrong.

Jang Ho-kyung was well aware that Jang Ha-yeon, as an illegitimate child, was at odds with Jang Yong-jae, Jang Min-jae, and Jang Soo-yeon, and that she was closer to Jang Ho-kyung’s children. More than anything…

‘It’s easier for us if Hae-dong doesn’t participate.’

Having publicly declared the acquisition of Dae-ju Group’s financial affiliates in the newspaper, he intended to acquire them out of pride. In that situation, Jang Ho-kyung felt relieved that his nephew and his wife were willingly stepping aside.

“I understand, Vice Chairman Jo. Please thank my nephew and his wife. And please tell them that I hope to see them more often in the future.”

There was no need to lower his guard against his niece’s in-laws, who had fleeced his brother, but there was also no need to turn them into enemies. Jang Ho-kyung’s lips were turning up as he asked Jo Young-chan to give his regards.

***

While working at the company, I went to GK Group’s headquarters with Seon Hae-cheol and Park Tae-jin, according to the scheduled appointment.

“Acquire Dae-ju Metal?”

“Yes, Chairman. Dae-ju Group has collapsed, but the completion of revenge is erasing the opponent’s existence, isn’t it?”

Oh Hyun-moo, Hae Soo-chan, and Oh Hyun-joon’s eyes widened as if it was an unexpected harsh remark from me. I smiled wryly at the three of them.

“It’s not just for revenge. The Hae-dong Group’s executives also made this decision considering business synergies, haha.”

“Director Lee is right, Chairman. If GK Metal merges with Dae-ju Metal, it will process three major non-ferrous metals, which will be advantageous in terms of business portfolio. It will also be linked to Hae-dong Corporation’s Australian zinc mine.”

Hae Soo-chan, who was nodding at Park Tae-jin’s supporting statement, opened his mouth.

“The problem is funding, Executive Director Park. Even if we attract some public funds, the acquisition cost will be 800 billion won…”

Seon Hae-cheol stepped up this time in response to Hae Soo-chan’s concern about funding.

“You don’t have to worry about that. Standard will acquire 20-year bonds at an annual interest rate of 5 percent, haha.”

Hae Soo-chan’s eyes lit up at Seon Hae-cheol’s offer to lend money on generous terms. Hae Soo-chan looked at Oh Hyun-moo with pleading eyes, and Oh Hyun-moo nodded.

“I’m sorry for always being indebted to you, CEO Seon.”

“No, Chairman. Instead, I hope you will allow our Standard to form a consortium with Triumph to acquire Dae-ju Heavy Industries.”

Oh Hyun-moo was delighted at Seon Hae-cheol’s polite request.

“Heavy industry is a business far removed from our group, and it’s not right to hinder the work of someone who helps us. We will also entrust Hae-dong Securities with the issuance of bonds necessary for the acquisition of Dae-ju Metal. Is there anything else?”

Seon Hae-cheol scratched the back of his head with an embarrassed expression at Oh Hyun-moo’s good-natured agreement.

“That’s… a little, no, it’s a very sensitive story, so I think it would be better for Director Lee to say it than for me to say it. Director Lee.”

“Yes, CEO.”

I took out a document envelope and a recorder from my bag and put them on the table.

“What is this, Director Lee?”

“These are materials I obtained during my business trip to the United States for IT business market research, Chairman. I would like you to look at this first before we get to the main topic.”

“Hmm…”

Oh Hyun-moo stopped talking and took out the documents from the envelope and examined them.

“‘Memory Semiconductor Industry Outlook’?”

“Yes. I went to Hillsborough for an IT industry investment project during a business trip to the United States a while ago, and I met people from Intel Research Institute there and heard about memory semiconductors. I’ll play the recording first.”

I pressed the recorder button on the table.

[RDRAM looks like it has good performance in terms of specs, but it doesn’t perform well unless you plug in an even number of RAMs of the same specification. The heat problem is also more severe than DDR RAM, and the compatibility stability with the CPU is also poor…]

As the engineers’ testimonies in the recorder played, Oh Hyun-moo, Hae Soo-chan, and Oh Hyun-joon couldn’t hide their embarrassment.

‘Poor people…’

I couldn’t hide my bitterness when I saw the three people’s crestfallen faces, because GK Group’s semiconductor business was flawed from the start.

The timing of entry was considerably delayed because Shinseong Group, during Jang Byung-ho’s time, interfered with their entry into the semiconductor business.

In order to make up for the lost time, Hitachi semiconductor equipment that made RDRAM [a type of dynamic random-access memory] had to be brought in, and the inertia could not be overcome, so they only focused on RDRAM while ignoring DDR RAM [another type of dynamic random-access memory], so it was bound to fail.

“So… is RDRAM hopeless?”

Even though he was trying to look calm, a slight tremor was conveyed in Oh Hyun-moo’s voice. I looked at Oh Hyun-moo with a firm expression and opened my mouth.

“Yes. Also, Rambus in the United States is unlikely to lower RDRAM royalties, so it will be pushed back in price competition. So RDRAM will be eliminated and buried in the market.”

“Still, GK Semiconductor doesn’t only generate sales from RDRAM, Director Lee. Non-memory semiconductors are the main force.”

Oh Hyun-joon retorted with an expression mixed with desperation and anger. I didn’t get angry or upset with Oh Hyun-joon.

‘I know. I know how much my uncle cares about semiconductors.’

GK Semiconductor was a business that Oh Hyun-joon cherished enough to take care of himself. I know that, but I looked at Oh Hyun-joon with cold eyes and said.

“The funds invested in RDRAM facility expansion and R&D to improve such a biased business proportion are trillions of won. If RDRAM collapses, that investment of trillions of won will become a waste of paper and a burden on the entire group. Can you handle it?”

“Director Lee!”

Oh Hyun-joon couldn’t stand it and shouted, but I still said in a calm voice.

“I am now giving you realistic advice as a strategic consultant for GK Group. I know that GK Semiconductor not only makes RDRAM business but also non-memory semiconductors, but it is an inefficient measure for the entire group to take on trillions of won in bad debts caused by RDRAM. You have to grow other businesses too, don’t you?”

The advantage and disadvantage of chaebol [South Korean conglomerate] groups is that affiliates push and pull each other. If you catch the direction well, you will soar without knowing the height of the sky, but if the opposite happens, you will fall endlessly, so it is a double-edged sword. More than anything, isn’t this the cause of the current foreign exchange crisis?

If the direction is wrong, in order to prevent the damage from expanding, you must quickly withdraw, reorganize your ranks, and find a new way. Making such a judgment is the virtue of those who lead the organization.

‘I’m sorry, uncles.’

I also wanted to save GK Semiconductor, but that was throwing away another opportunity. While I was bowing my head with a heavy heart, Oh Hyun-moo put his hand on Oh Hyun-joon’s shoulder with a bitter expression.

“I’m sorry, CEO Oh. I know you have a great affection for the semiconductor business, but according to the facts that Director Lee has conveyed, GK Semiconductor will collapse. We have to think about other affiliate businesses too.”

“Chairman is right, CEO Oh. I’m sorry, but you have to cut it off when you have to. Let’s look for a new business.”

Fortunately, our uncles seemed to have the virtues of a leader. As Oh Hyun-moo continued to urge him to give up, Oh Hyun-joon drooped his shoulders and sighed.

“I understand, brothers. If it’s to save the group, I can’t help it.”

“I’m sorry, uncle.”

Oh Hyun-joon waved his hand at me, who bowed my head and apologized.

“There’s nothing to be sorry about. You did your part faithfully. Rather, I’m grateful.”

Oh Hyun-joon acknowledged my role as a GK Group strategic consultant and continued with a firm expression.

“Instead, we have to make sure that Taehyun Group can’t eat it comfortably. At least, we will make them take over all of our debts and acquire it. We also have to get a good sale price.”

Is it because he has decided to sell a business that he has to sell anyway and a business that will fail, that he has hardened his resolve to overthrow his competitors? Poison was overflowing from Oh Hyun-joon’s eyes, as expected of someone with a unique personality from a gentle family.

“Of course, CEO. That’s why I have something to say.”

“Something?”

“Give them GK Semiconductor and ask them to hand over Taehyun Electronics’ display business division.”

“Display?”

“Yes. It is a sufficient alternative as the next-generation growth engine that will replace the liquidated semiconductors.”

“Hmm…”

Not only Oh Hyun-joon but also Oh Hyun-moo and Hae Soo-chan were making sounds of contemplation. I was anxious as I watched them.

‘If you eat Taehyun Electronics’ display business, GK Group will have no display competitors, uncles.’

Unable to bear it, I told the three people what I knew.

“Taehyun Electronics’ display business division has many patented technologies developed independently, as befits the Taehyun Group. Among them, the wide viewing angle technology, which makes the picture quality clear from any angle, can be said to be unique.”

Originally, Taehyun Electronics’ display business division is separated from Taehyun Electronics when it goes bankrupt, acquired by China’s BOE [a Chinese technology company that specializes in display], and only the technology is sucked out and abandoned. However, if the maternal family acquires it, it will be able to check both China and Shinseong.

“Of course, the production facilities of Taehyun Electronics’ display factory are old, but the market share and sales increase due to increased production cannot be ignored. After merging GK Electronics and Taehyun Electronics’ display business, ask Taehyun Electronics for exclusive display supply rights.”

Oh Hyun-joon’s eyes widened at my proposal to completely rip off the Taehyun Group under the pretext of the display business.

“You, do you see a future in display?”

“Yes. If GK Group takes over Taehyun Electronics’ display business, I will invest 1 trillion won of my personal cash as a matter of urgency.”

When GK Group was about to grow the display business in earnest, it received investment from Philips in the Netherlands due to funding problems. This time, I was going to push funds instead of Philips, but not only Oh Hyun-joon but also Oh Hyun-moo and Hae Soo-chan’s eyes widened at the words ‘as a matter of urgency’.

“D, Director Lee?”

“How much do you have…?”

I smiled at the two people who couldn’t continue speaking because of face.

“I am very confident that my maternal family will succeed in the display business, and I have a lot of personal wealth. Isn’t that right, CEO?”

“Of course. Director Lee is not only an employee of our Standard, but also one of the major investors. He has accumulated quite a lot of performance-based compensation and investment income from domestic and overseas affairs, haha.”

Unlike Seon Hae-cheol, who was laughing heartily, Oh Hyun-moo, Hae Soo-chan, and Oh Hyun-joon could not close their mouths and just stared blankly at me.

***

After that, I also talked about entering the telecommunications business, which was one of GK Group’s long-cherished projects.

“Let’s take Daicom as compensation for the early sale of the semiconductor business?”

“It won’t be possible if it’s not now. You can’t say that you’ve definitely entered the market just by securing friendly shares.”

The maternal family had wanted to enter the telecommunications business for a long time. In fact, when GK Semiconductor was sold, the maternal family collected all of Daicom’s friendly shares and became the largest shareholder.

Oh Hyun-moo, who had been contemplating for a while, nodded.

“If we bring Dae-ju Metal, Taehyun Electronics’ display business, and Daicom, we will fill the semiconductor business sale loss to some extent.”

“Not only that, Chairman. Hae-dong Group is also trying to use the early sale of GK Semiconductor to split Dae-ju Motors with Taehyun Motors.”

Oh Hyun-moo looked at me with a dumbfounded expression.

“Director Lee is a ruthless person. Only Taehyun Group will be a fool, huh.”

Hae Soo-chan and Oh Hyun-joon also burst into laughter, not knowing that I would be such a person, but it was a waste to only use the early sale of GK Semiconductor in the maternal family. If we’re going to use it, shouldn’t we use Hae-dong Group at least once?

Oh Hyun-moo burst into laughter as he looked at me, who was laughing gloomily.

“I think it was a good idea to bring Director Lee as our group’s strategic consultant. If we had handed it over to another group, not Hae-dong Group, we would have been in trouble.”

“You’re too kind, Chairman. GK Group should maximize the value of GK Semiconductor until Hae-dong Group contacts Taehyun Group. Hae-dong Group will also support you, haha.”

***

After finishing the negotiations, we left the GK Group headquarters and went to the Hae-dong Group headquarters. We, who had requested a meeting, announced the results of the big deal negotiations with GK Group and the decision to bring in Hae-dong Group funds for the bearish betting in the United States.

“You guys are working hard to take care of the group’s finances.”

I smiled and said to Bae Jae-hoon, the eldest member of the Hae-dong Group headquarters, who comforted me.

“No, Vice Chairman. The decision of the uncles who gave up their greed was great.”

The greed of the chaebols transcends the imagination of ordinary people. Among them, the greed for business expansion is the greatest, but in this life, my uncles decided to graft display, mobile communication, and smelting businesses onto the place where they gave up their greed for the semiconductor business, didn’t they?

While everyone was nodding, Go Seung-ju opened his mouth.

“Then Director Lee, CEO Seon, and Executive Director Park will have to negotiate with Taehyun. We will have to unite with GK to inflate the value of GK Semiconductor as much as possible.”

“Yes, Head. From public opinion warfare to lobbying the government… anything is fine. We must raise it to the maximum so that all of our and GK’s demands can be met.”

Taehyun Motors may be ruined by our machinations, but Myung Seon-gu, who holds Taehyun Motors, will never cooperate with Taehyun Electronics’ big deal. Isn’t he a fox-like bear, as much as he hid cash under the pretext of the Hadong Ironworks construction even when Hae-dong Motors was wearing the Ado sign [a sign of bankruptcy or restructuring]? The man named Myung Seon-gu.

The key is how much of the stake in Dae-ju Motors we can get from that fox-like bear, but that will also be an interesting fight. We have several cards to present in the negotiation.