Still, I Will Live As The Son-In-Law Of A Conglomerate [EN]: Chapter 208

208. 59th. New Game (3)

I was the first to snap out of the daze we were all in from the unexpected situation.

“They issued corporate bonds and transferred stocks?”

“Yes! Shinseong Corporation, Shinseong Electronics, Shinseong Construction, Shinseong Heavy Industries, Jeil Flour, and Shinsegi Retail all issued corporate bonds and bought major affiliate shares!”

Shinseong Corporation and Shinseong Electronics are controlled directly by Jang Ho-geon, Shinseong Construction and Shinseong Heavy Industries by Jang Ho-min, and Jeil Flour and Shinsegi Retail by Jang Ho-gyeong. These are the parent companies that control their respective affiliates.

They are also the ones that drive the rest of their affiliates in terms of sales, net profit, and liquid assets, while also being pushed the most.

So.

Concentrating all the stocks into those six companies means they’re planning to create a holding company. Before splitting into investment and business divisions.

“Ch, Chairman, this feels like…”

“We’ll talk later, Vice President Park. What about Shinseong Life? Quickly!”

Shinseong Life is where the shares of the three siblings, Jang Ho-geon, Jang Ho-min, and Jang Ho-gyeong, are mixed. We need to check the movements there to know if this stock transfer is simply to solidify their own territories or if there’s another intention.

Seeing me raise my voice for the first time, the employee quickly continued the report.

“There are no movements there yet. But…”

Seon Hae-cheol, who was looking at the hesitating employee with me, waved his hand.

“That’s enough. Go.”

“Yes, President!”

The employee, who had quickly bowed, ran out of the room. As we were all looking at each other, Seon Hae-cheol spoke first.

“They’re going to create a holding company, right?”

“That’s probably it. I don’t know if they’ll strengthen their own walls or merge their castles, but they wouldn’t have transferred stocks at this hour unless they were creating a holding company.”

“Hmm…”

Seon Hae-cheol made a sound of contemplation after checking that the wall clock covered by my fingertip had passed 4 o’clock.

Due to the impact on the stock price, whether it’s rising or falling, most *chaebols* [large South Korean business conglomerates] and large corporations process large-scale stock transactions in after-hours trading only after 3 o’clock when the market closes.

The fact that the three siblings vertically aligned all affiliate stocks into the companies they each control means they intend to create a holding company. Park Tae-jin, who had been quiet, opened his mouth with a firm expression.

“The results will come out after moving on to the next stage. Shinseong Group is different from Haedong Corporation.”

“That’s right. Over there, the parent company’s own business assets aren’t larger than the subsidiary’s shares, and Chairman, Jang Ho-min, and Jang Ho-gyeong don’t directly hold many shares either.”

Seeing my expression not easing, Seon Hae-cheol said.

“That’s right. More than 80 percent of Haedong Corporation’s stock is in Seongmin’s name, and everyone from the chairmen to your wife, Tae-jin, and the executives who received the chairman’s stock are all on your side.”

“That’s not all, Hyung [older brother or close male friend]. All of Haedong Group’s major businesses are either internal business divisions or wholly-owned subsidiaries of Haedong Corporation. Even if you combine all the remaining affiliate stocks, it’s only about 30 percent of Haedong Corporation’s total assets, and the Chairman is the largest shareholder in the financial, securities, and electronics sectors. The Chairman even holds the GK Display stock jointly invested with GK Group, doesn’t he?”

As the two said, Haedong Corporation is a company I completely control, and Haedong Corporation, which encompasses trading, resource development, textile materials, retail distribution, logistics, shipping, and e-commerce-computer systems, can act as a holding company without being subject to the Holding Company Act.

Nevertheless, their words were not comforting to me at all.

“The problem is ‘treasury stock magic’.”

The three will split the companies they each hold into investment and business divisions, then merge the two investment division companies and contribute the shares of the two business division companies to the investment division company in kind, greatly increasing the number of new shares.

In this process, the treasury shares of the six companies are transferred to the investment division company along with the affiliate shares, turning into shares of the business division company, and even the ‘treasury stock magic’ that revives voting rights occurs.

Those voting rights are taken by the Jang family, who will become the largest shareholder of the holding company by integrating the investment divisions. If their friendly shares are added to this, crushing my in-laws becomes distant.

‘Bang Gyeong-seon was causing a fuss in the National Assembly to prevent *chaebols* from playing with treasury stocks before entering the cabinet… Damn it.’

That Bang Gyeong-seon assemblywoman is now just a rookie who has removed the label of a first-term proportional representative from a media background and has passed the height of a second term. I, who was licking my lips, took a breath and thought about various scenarios.

“Wait?”

There was something I missed. I immediately ran out of the room and rushed to the trading room.

###

Whether Park Tae-jin and Seon Hae-cheol followed or not, I arrived at the trading room and asked the employees.

“Give me the corporate bond issuance details and stock change details! Quickly!”

“Yes? …Yes!”

After giving the instructions as if urging them and panting, I looked through all the corporate bond issuance details and stock change details that the employees had pulled out. Looking at the stocks, the corners of my lips went up.

‘Are they telling me to eat them whole?’

“Hehehehehe… Hahahahaha!”

The chuckle that flowed from my mouth turned into mad laughter, and Park Tae-jin, Seon Hae-cheol, and the employees who got up from their computers looked at me as if I were crazy.

Without even being aware of their gazes, I laughed so much that I wiped the moisture from my eyes and said to the employee.

“Good job. From now on, check the stock trends of all Shinseong and Shinsegi affiliates.”

“Yes… Chairman.”

Leaving behind the employees who were looking at me with incomprehensible expressions, I took the documents and entered the room. Seon Hae-cheol, who was staring at me intently after entering the room, asked cautiously.

“Are you okay? You didn’t suddenly snap, did you?”

“Please calm down, Chairman. You couldn’t keep your promise to crush the Chairman’s in-laws in front of the advisors or chairmen, but…”

If Jang Ho-geon, Jang Ho-min, and Jang Ho-gyeong each create their own holding company system, the promise I made to the adults in the study will become meaningless. The two looked at me with eyes that felt sincere enough to worry about me, but I waved my hand while holding back laughter.

“That’s not it. Look at this first, hehe.”

Seon Hae-cheol, who was looking at the corporate bond issuance statement and stock change statement I handed over, soon burst into exclamation.

“Huh?”

“What’s wrong, Hyung?”

“The stock changes on the Shinseong side are strange? The corporate bond issuance is also strange.”

“What do you mean?”

“Electronics and Corporation are holding Jang Ho-min’s affiliates, and Heavy Industries and Construction are holding Jang Ho-geon’s affiliates’ shares as they are. What do you think when you look at it?”

“It’s strange. Considering the relationship between the two and the Holding Company Act, they would have tried to cleanly separate and reorganize their shares…”

According to the Holding Company Act passed by the National Assembly two years ago, listed subsidiaries must hold 20 percent or more, and sub-subsidiaries must hold 40 percent or more.

However, whether it’s Jang Ho-geon or Jang Ho-min, the affiliate shares held by the other party, with Electronics and Corporation, Heavy Industries and Construction at the forefront, are only about 10 percent, but they have not been reorganized.

Seon Hae-cheol tilted his head, looking at Park Tae-jin, who was slurring his words.

“Isn’t it possible that they’re trying to reorganize later? There’s a grace period for the holding company conversion, right?”

“No. Considering the relationship between Chairman and his uncles, Hyung is right. If they were trying to raise their own walls, they would have tried to cleanly separate, whether it was through a share swap or something.”

No one knows better than I do, who worked like a dog at Shinseong, how much Jang Ho-geon, Jang Ho-min, and Jang Ho-gyeong hate each other. Seon Hae-cheol continued to ask me, who gave a definite answer.

“Then… are you saying that the two will merge the holding companies?”

“There’s a high possibility of that. There’s also a high possibility that Jang Ho-gyeong will join.”

“Even Jang Ho-gyeong?”

“Since they moved their shares together today, there must have been a deal that no one knows about. It’s a problem if Shinsegi Group’s financial affiliates are tied up in a financial holding company, but merging with Shinseong Life can be prevented by informing Isaac…”

I pointed to the documents Park Tae-jin was holding, slurring my words.

“If you’ve seen the corporate bond issuance details, you’ll know that the conditions are too favorable for the three. Above all, most of the corporate bond volume is concentrated in Shinseong Electronics. What do you think, Uncle?”

Seon Hae-cheol also nodded at the question I threw.

“I thought that was strange too. It was a carbon copy of what we did when we injected funds into GK Group or Miryong Group. It’s as if someone who knows Standard Capital and you well has used their hands.”

While Seon Hae-cheol narrowed his eyes, Park Tae-jin followed suit.

“Hyung is right. Chairman, wasn’t your investment a preliminary step in preparation for the merger of Shinseong Group?”

The fact that Standard Capital and Haedong Securities have repeatedly made large-scale investments centered on ultra-long-term low-interest bonds is not only to prepare for the future era of ultra-low interest rates that has not been revealed to the two, but also a basic work to prevent the public, politicians, and public officials from making noise about the merger of Shinseong Group.

“However, I can’t shake the feeling that someone is hiding behind the sale of Shinseong Group’s corporate bonds and sprinkling ashes on the Chairman’s and our group’s plans. Above all, the concentration of corporate bonds in Shinseong Electronics is a preparation for the semiconductor chicken game, isn’t it?”

“I agree. I need to investigate who the investors who received Shinseong Group’s corporate bonds are to get an estimate, but the sale of Shinseong Group’s corporate bonds seems like something that was designed to screw me over.”

The main force of the pan-Shinseong Group, which will be reunited around the holding company, is Shinseong Electronics. Except for the food business that pan-Haedong Group, Standard Capital, and GK Group do not have a foothold in, everything else is being pushed back except for semiconductors.

But.

Whether it’s money or business items, Haedong Electronics, which I control, will never be pushed back either. If I bring in my allies here, I can definitely win.

Before that.

I need to find out who gave money to Shinseong Group. Which guy is setting up an angle with us.

***

Jang Ho-geon, who made Lee Seong-min a pursuer with the previous blow, was exchanging a phone call.

“Thank you for investing under good conditions, haha.”

[It’s nothing, Mr. Jang. I’m also a human who grinds his teeth at Standard Capital, hehe.]

The corners of Jang Ho-geon’s lips went up at the laughter coming from the receiver. Wasn’t this a big catch that he got while secretly looking for a sponsor who had a grudge against Standard Capital after proposing a reunification through the establishment of an integrated holding company to his sister and younger sibling?

“We will properly repay the grudge you owed to Standard due to the IT bubble collapse, hehe.”

[You must succeed, Mr. Jang. My prestige must be re-established, as well as my grudge, so Mr. Jang must succeed. If you don’t succeed, the aftermath… you know, right?]

Jang Ho-geon’s brow narrowed at the question thrown by the man he was talking to in a gloomy voice.

Isn’t the price of issuing a large amount of corporate bonds at ultra-long-term low interest rates harsh? Enough to lose everything if you do it wrong.

However, Jang Ho-geon’s brow quickly relaxed because he had a reliable corner.

“Of course. Our Shinseong Electronics will dominate the memory semiconductor market within the next 10 years, so please provide solid additional funding support, haha.”

The reason for issuing corporate bonds was not simply to change the governance structure. Wasn’t it to prepare as much ammunition as possible for the semiconductor chicken game and become the ultimate winner?

[Good. Then I wish you good luck, Mr. Jang.]

The call ended with those words, and Jang Ho-geon put down the receiver and sat on the sofa.

“What do you think?”

Lee Soo-han, who was sitting on the sofa and watching the call, opened his mouth at the question Jang Ho-geon threw.

“If the American sponsor you just spoke to continues to push funds, we will win the semiconductor chicken game. We are ahead in semiconductor competitiveness, but we are ahead of GK Electronics in sales of mobile phones, computers, and TVs, so there is no need to worry about raising the funds needed for the chicken game.”

Shinseong Electronics’ main business is semiconductors, but it is a comprehensive electronics company that is also strong in mobile phones, computers, and TVs. Jang Ho-geon nodded at Lee Soo-han’s answer that the profits from the three businesses could support the semiconductor business that would be involved in the chicken game.

“That’s right. Mobile phones and computers have much higher margins than those white goods. What do you think, Executive Director Jang?”

Jang Yong-jae, who was sitting across from Lee Soo-han with Jang Ho-geon in the center of the upper seat, also nodded with a firm expression.

“The director’s words are correct, but our DDR RAM process is much more advantageous, Father. I will try to increase customers as much as possible, even if I have to change my passport.”

Jang Ho-geon smiled at the confident guarantee while pounding his chest.

“That’s it. A war has begun from now on, so try to make as much contribution as possible.”

The war that has just begun was a test that Jang Ho-geon gave to all of his children. It was his secret that only the child who passed the test disguised as war would inherit Shinseong Group.

***

While Shinseong Group and Shinsegi Group were creating an integrated holding company system, we asked Isaac to prevent the merger of Shinsegi Financial Holding and Shinseong Life, while mobilizing our domestic and foreign networks to investigate where their large-scale corporate bonds were digested.

Of course.

Apart from the group level, I personally met a very unsightly guy to get information.

“It’s been a while, brother-in-law.”

“It’s been a while, brother-in-law. How does it feel to be the chairman of Haedong Group?”

I shrugged at Jang Yong-jae’s mocking question while sitting across from a table at a cafe.

“I’m nothing special. I’ve been taking care of group businesses with various chairmen inside and outside the group as a consultant since before I became chairman. Unlike you, brother-in-law, hehe.”

Jang Yong-jae’s nose twitched at my laughter following the answer.

While I was taking care of the elders of the business world and major businesses as a strategic consultant for Haedong Group, GK Group, and Taehyun Group’s Myung Seon-woo, this guy couldn’t escape from playing managing director or executive director within Shinseong Group. How much would Jang Yong-jae, who graduated from Seoul National University’s Department of Economics and whose nose is piercing the sky, be hurt?

This is just a taste.

I will scratch his insides.

In order to hear what I want.