The Conglomerate Family Became A Villain [EN]: Chapter 110

110. Genius and Sage (1)

Victoria Corporation, New York Branch.

Henri Arnault, the representative agent of JP Morgan Investment Bank, couldn’t help but frown as he assessed the considerable size of the New York branch.

“Neil must have really pulled some strings for Victoria.”

The reason for his disapproval was that the New York branch of Victoria Corporation was located inside a JP Morgan-owned building.

In other words, the New York branch of Victoria Corporation was established with JP Morgan’s backing.

“Isn’t that why he ended up retiring?”

John Pierre followed behind Henri Arnault.

“Anyway, Neil’s legacy is giving me a headache.”

He considered Sarah Hilton to be a troublesome guest.

“I’ll prepare so we can wrap this up quickly if necessary.”

Henri Arnault nodded slightly at John Pierre’s words.

“I trust you.”

While the two were talking, Sarah Hilton arrived.

Henri Arnault didn’t like that she was late.

‘Tsk, the host making the guest wait.’

Sarah also had a point. She had flown in from Boston, while the two of them had only walked over from the next building.

Besides, they had only arrived about three minutes earlier than Sarah.

“Hello.”

Sarah’s greeting was bright.

John Pierre cleared his throat lightly.

“Ahem, ahem. Ms. Hilton, it seems you were caught in heavy traffic.”

It was a greeting that subtly pointed out her tardiness.

Sarah put down her bag and responded in a soft voice.

“New York is different from Boston.”

As she said, the road conditions in New York and Boston were quite different. Of course, John Pierre was well aware of this fact.

“And who is this?”

The man accompanying Sarah was not Robert.

‘Could it be Charlie Jung? But I heard he was Asian.’

Sarah introduced the young man standing next to her.

“This is Henry Cael. He’s the attorney in charge at Victoria Corporation.”

Accompanying a lawyer to a meeting with a related company.

Henri Arnault realized that she had come with a significant issue.

‘I hate complicated things.’

It was then that he frowned.

John Pierre jokingly said to Sarah.

“Ms. Hilton, I hope this isn’t about a lawsuit.”

Sarah offered a seat to the lawyer, Henry Cael, and responded.

“I wouldn’t be here with such a bright face if it were a lawsuit.”

It didn’t seem to be a lawsuit, at least.

Henri Arnault, after confirming that the two had taken their seats, asked a question.

“Is this about patents or trademarks?”

If a lawyer was present, this was the most likely reason.

‘If it’s a patent claim for the new version of JP Services, I’ll grant it.’

He had no intention of fighting Victoria Corporation over patent rights.

‘JP Services is Neil’s work, after all.’

Henri Arnault didn’t want to be deeply involved in what Neil Hamilton had planned.

“It’s not.”

Not patents or trademarks.

Henri Arnault couldn’t help but frown.

“Ms. Hilton, I’m curious about the topic of today’s meeting.”

Sarah picked up a pen and revealed the topic.

“The reason I’ve gathered you here is because of Victoria Corporation’s IPO [Initial Public Offering].”

Henri Arnault and John Pierre raised their voices as soon as they heard the word ‘IPO’.

“Are you talking about an IPO?”

“Is Victoria Corporation considering an IPO?”

Sarah answered the two men’s questions in a soft voice.

“Last month, Victoria Corporation’s monthly sales exceeded $30 million. Don’t you think it’s time for an IPO (listing on the New York Stock Exchange)?”

Monthly sales of $30 million.

Annual sales were approaching $400 million.

For a typical company, a market capitalization of around $2 billion could be expected.

“Hmm, considering the size of the company, an IPO is certainly possible, but…”

John Pierre trailed off because sales and profits weren’t everything.

‘Our JP Morgan invested $1 billion in Victoria Corporation. If the company’s value is assessed at less than $10 billion, JP Morgan will inevitably suffer losses.’

The best thing to do was to postpone Victoria Corporation’s IPO.

Jung Hyun-woo and Sarah had anticipated this.

“Are you saying it’s difficult right now?”

John Pierre didn’t answer immediately and glanced at Henri Arnault.

‘I wish Mr. Arnault would just say it clearly.’

Henri Arnault didn’t want Neil Hamilton’s work to grow any larger. So, John Pierre thought he would firmly refuse.

But Henri Arnault’s answer was unexpected.

“Ms. Hilton, I think we need to accurately analyze Victoria Corporation’s value first.”

Instead of rejecting her request, he was talking about the procedure.

Sarah picked up a pen and asked.

“Wasn’t the company’s value already assessed during the last investment?”

“I’ve heard that the value of IT companies can change significantly in just a few months.”

Because it was an IT company, he would reassess Victoria Corporation’s value.

Sarah didn’t think it was a negative answer.

‘If the company’s value exceeds $10 billion again this time, our company will definitely be in the $10 billion group.’

She lowered her voice tone.

“I understand. Then, when can we know the accurate value of our company?”

“It will be out in three months at the earliest, and six months at the latest.”

Sarah frowned at his answer.

“Mr. Arnault, isn’t that too late?”

“Ms. Hilton, value assessment for an IPO takes some time.”

“Didn’t you just say that the value of IT companies changes in a matter of months? If it takes six months to analyze the company’s value, it will only be calculating the past value, not the current value.”

Henri Arnault frowned at Sarah’s sharp criticism.

“Alright. Then I’ll give you an answer within three months at the latest.”

It was an answer that he would give an answer within this year.

Sarah asked again.

“If the value analysis of Victoria Corporation is completed within this year, when will the IPO be possible?”

Henri Arnault answered with a manual-like response.

“The IPO will not happen just because the company’s value analysis is finished. If an appropriate price doesn’t come out, the IPO will be canceled.”

Sarah had anticipated this as well.

“If a value that allows for an IPO comes out, what will the IPO schedule be like?”

“The IPO will take place within a year.”

It meant that if the result was good, it would be listed on the New York Stock Exchange within 1985.

“That’s good.”

Sarah thought JP Morgan’s reaction was better than expected.

‘I thought they might just flatly refuse.’

Henri Arnault’s answer and schedule were typical, but John Pierre was quite surprised.

‘Does Mr. Arnault really intend to proceed with Victoria Corporation’s IPO?’

It was then that he frowned.

Henri Arnault asked Sarah.

“Is that all for today’s discussion?”

He was asking if there were any other matters to discuss.

Sarah shook her head from side to side.

“There are no other matters.”

Henri Arnault got up from his seat at her answer.

“Ms. Hilton, as I said, I will let you know the accurate results within three months.”

The meeting time was short, but it wasn’t something to discuss over the phone.

‘If it’s an IPO application, it’s common to talk face to face.’

He didn’t think she had made an unreasonable request.

“Then I’ll go back to Boston and wait for the results.”

Henri Arnault lightly bowed his head and left the conference room.

John Pierre followed closely behind him and asked.

“Are you really going to proceed with the IPO?”

Henri Arnault retorted in a dry voice.

“If I don’t proceed?”

“Wasn’t there an option to refuse?”

“Refuse? If I did that, I would have to take all the responsibility.”

Henri Arnault hated taking responsibility as much as he hated getting involved in what Neil Hamilton had done.

“So, you’re saying you’ll proceed according to the procedure.”

“Is there a problem with that?”

“No, sir.”

Henri Arnault wasn’t planning on doing anything special to prevent Victoria Corporation’s IPO.

“If the value comes out to be over $10 billion, we’ll go for the IPO, and if it’s below that, the IPO will be canceled.”

He decided to think simply.

‘It’s not a problem to think about in a complicated way in the first place.’

* * *

“An IPO?”

The person sitting across from Sarah was Peter Lynch. His Magellan Fund was sailing smoothly as if it had the wind in its sails after overcoming the crisis last year.

“What do you think, Peter?”

Peter Lynch crossed his arms and answered.

“I don’t think it’s something to be judged hastily.”

He approached it more seriously than Henri Arnault.

“Are you saying there will be many difficulties?”

“Of course.”

“Is it to the point where you say ‘of course’?”

Peter Lynch nodded and answered.

“Victoria Corporation has a controversy over high valuation.”

Many investors on Wall Street still thought that Victoria Corporation’s value was below $10 billion.

“Are you saying that if the company’s value is below $10 billion, the IPO will be rejected?”

“It will be difficult even if it comes out a little better than $10 billion, not just below $10 billion.”

Sarah frowned.

“You’re saying it won’t be listed even if it exceeds $10 billion?”

It was hard for her to understand.

“JP Morgan invested $1 billion, calculating Victoria Corporation’s value at $10 billion. But if the value is assessed at exactly $10 billion, they would have made a foolish investment.”

Sarah unfolded her narrowed brow and said.

“Are you saying that it needs to be at least $15 billion to try an IPO?”

“$15 billion is not enough. It needs to be at least $20 billion.”

Sarah let out a long sigh inside at the word $20 billion.

‘Hoo… It’s the same amount that came out at the last meeting.’

She and Jung Hyun-woo had agreed that JP Morgan was aiming for an amount of around $20 billion.

“So, Peter is viewing the IPO negatively.”

“That’s right, unless a special variable comes out.”

“A special variable?”

Peter Lynch unfolded his arms and answered.

“Just as the value of Victoria Corporation soared due to American Service and JP Morgan’s investment, if a new event occurs, the value of Victoria Corporation can be rewritten.”

Sarah sighed briefly.

“Ha… A new event?”

She thought it would be difficult to have a new event for the time being.

‘Can I only rely on JP Morgan’s valuation?’

Peter Lynch took out a document and said.

“This could also be a new event.”

“What is this?”

“It’s Victoria Corporation’s investment data.”

Victoria Corporation had made various investments in companies such as Apple, including $20 million in Japan.

“Peter already knows that Victoria Corporation’s investment performance is good.”

“I haven’t made it into a document and distributed it.”

Sarah realized what Peter Lynch was saying.

“Are you saying that if I want an IPO, I should distribute this data to the media?”

“If you desperately want an IPO, this is also a way.”

“What if I don’t desperately want an IPO?”

Peter Lynch gathered the data and answered.

“There’s no need to use this method. It’s better to invest quietly.”

He didn’t like those who induced investment sentiment using rumors or gossip.

‘Because that’s not a proper investment.’

It might be old-fashioned, but he preferred to directly evaluate and invest in the value of a company.

“Peter is still Peter.”

“Are you saying I’m stubborn?”

“No. You know all the methods, but you don’t bring them up until I ask.”

Peter Lynch waved his right hand.

“I’m not a genius or a god-like being. I’m just giving you the best answer at the time.”

The optimal answer he chose sounded like a prophecy to Sarah.

Sarah raised her eyebrows and asked.

“Peter, to be cold-blooded, what do you think is the probability that Victoria Corporation will go to an IPO?”

Victoria Corporation’s IPO.

Peter Lynch had already calculated the probability.

‘But it was a few months ago.’

The probability he calculated at the time was 46%. But a big deal was made with JP Morgan, and since then, the possibility of Victoria Corporation’s IPO has greatly decreased.

“I can’t answer exactly, but wouldn’t it be less than 10%?”

Sarah’s face darkened.

“If it’s less than 10%, you’re saying I shouldn’t expect it.”

“As I said earlier, the IPO is impossible unless a special event occurs.”

Sarah nodded at his honest answer.

“Peter, thank you for your time.”

“You’re welcome.”

Victoria Corporation was one of Magellan Fund’s VIP clients.

He was ready to respond to Sarah’s meeting request at any time.

“I’ll call you if I have any questions.”

“Sarah’s call is always welcome.”

At the time Sarah left Magellan Fund,

Jung Hyun-woo was meeting another person who could change the value of Victoria Corporation.

“It’s been a while.”

Jung Hyun-woo tilted his head at the greeting of a beautiful woman with red hair.

“Has it been that long?”

The beauty who retorted his question was Lyra Marine.

“Didn’t we see each other in the summer?”

The season was turning to autumn.

The difference of one season.

It was a long time if it was long, and a short time if it was short.

‘Well, let’s say it’s long.’

Jung Hyun-woo didn’t insist on such things.

“That’s right.”

“Charlie seems to have become more taciturn than before.”

“Maybe it’s because there are more boring things to do.”

Jung Hyun-woo’s quitting time was much faster compared to a year ago. But the satisfaction from work was less than a year ago.

‘Because I’m working in an ambiguous way.’

He was in charge of overseeing the research and development being conducted at Victoria Corporation.

This was, to put it nicely, overseeing all tasks, and to put it badly, being distanced from practical work.

“Boring things?”

“Because I can’t focus on one thing and I’m doing a little bit of everything.”

“Charlie, haven’t you returned to the role of CEO?”

Lyra Marine believed that Jung Hyun-woo could also perform the role of CEO well.

‘There aren’t many people as intelligent as him.’

Jung Hyun-woo was one of the few geniuses she had met.

“The role of CEO. Then that means I couldn’t do that role before.”

“You could say you relied on Ms. Hilton or Mr. Bernard.”

Lyra Marine knew the internal affairs of Victoria Corporation well.

“Did Joel tell you everything?”

Joel Crawford was the head of American Service. As the head of American Service, he often had meetings with Lyra Marine.

“Didn’t I hear it from Ms. Hilton before Joel?”

Jung Hyun-woo shrugged his shoulders when Sarah’s story came up.

“If you heard it from Sarah, there’s nothing I can do.”

It was true that he relied on Robert and Sarah.

“The new version that was released this time, the response is good.”

Recently, it was JP Morgan’s JP Service, not Bank of America’s American Service, that released a new version.

Jung Hyun-woo thought that she had come all the way to Boston to put pressure on him to add the functions of JP Service to American Service as well.

‘I guess she thought it wouldn’t be enough to pressure Joel.’

He raised his voice as if he didn’t know anything.

“Are you talking about the exchange rate display function?”

Since the US-Japan trade dispute began, the value change between the yen and the dollar has increased.

In line with this, Victoria Corporation added a yen exchange rate display to JP Service.

Customers using JP Service gave a thumbs up to this patch.

“I heard that code search has also become easier in addition to the exchange rate display.”

JP Service had improved user convenience during this patch.

“It’s content that will be applied to American Service soon.”

“Of course, it will.”

Even though Jung Hyun-woo took the lead, there was no change in Lyra Marine’s expression.

‘Tsk, is this not it?’

It was when he clicked his tongue inwardly.

Lyra Marine said.

“Shall we have a more in-depth conversation?”

“A more in-depth conversation?”

“Yes.”

At that moment, Lyra Marine’s eyes lit up.

Jung Hyun-woo looked at her shining eyes and sighed deeply inside.

‘Ha… It won’t be easy.’