The Last Struggle of the Century’s End, Part 1
Oh Se-hyun quickly calculated in his head. He had already checked the costs for land acquisition and store construction. To figure out the profit margin, he’d have to leave it to the construction company’s executives.
“Taking it on? That’s no problem. In fact, I should be thanking you. But I doubt you’re just giving it away.”
Oh Se-hyun scrutinized his aunt’s face sharply. Seeing her less-than-confident expression, his posture gradually shifted.
It seemed she wanted to show who held the upper hand in this meeting.
“Just so you know, the costs are quite generous. They were set before the company split… It’s a kind of internal transaction, you see.”
“Then why does it seem so suspicious? Why give away something so good…?”
Feigning ignorance, he continued to probe. He needed to hear the words he wanted from his aunt’s mouth.
“Please, give me some breathing room. I need to escape this financial pressure, and this is the only way. I’m asking for your help.”
“So, you’re suggesting we do this on credit?”
In the end, he heard the plea he was waiting for.
“I’ll pay, including interest, from the day we open. In installments…”
His aunt spoke in a voice that tried to be endearing but failed.
“Isn’t the contract already finalized? With Sunyang Construction?”
“I can handle that. I’ll protest about being tied down with a contract while being shackled with debt. Besides, it’s an internal transaction contract, so there won’t be any issues.”
If it were me, I wouldn’t start a new business.
The timing is perfect. Just when the large store starts breaking even, another crisis will hit.
The economy shows signs of recovery, so my aunt must be envisioning a rosy future. But I’m the only one who knows what will happen in a few years.
“In the end, there’s only one deciding factor. Since it’s a credit transaction, how much collateral should we secure, right?”
My aunt’s face darkened.
“Oh dear, I trusted our relationship, Mr. Oh… Collateral is a bit unexpected.”
“When borrowing money from both a friend and a bank, you usually repay the bank first. Trust is about keeping options open in your favor. If things turn against you, you might feel betrayed. Trust? It crumbles easily in the face of money.”
Faced with Oh Se-hyun’s firm stance, my aunt was at a loss for words.
“Uncle, shall we get started? How about reviewing these documents?”
At my signal, Oh Se-hyun gathered the papers.
“Let’s find a reasonable middle ground where neither of us feels slighted. Then…”
He left the rest to me.
As soon as Oh Se-hyun left the hotel room, my aunt exploded in anger.
“Who does he think he is? I’m offering support, and he acts like that!”
“Because he knows your weakness, Aunt.”
“What?”
“He’s the kind of person who can see through a company’s situation just by glancing at the accounting books. He realized you’d lose the department store shares before you even received them from Grandfather. He has nothing to lose, so he can afford to be stiff.”
My aunt gripped the sofa armrest tightly.
“Is it that hopeless?”
“The finance executives at the department store or distribution know. They just can’t speak frankly because it’s difficult.”
“That old man…”
Though it irked me to hear her curse Grandfather, I understood. He gave her a fortune to become independent, only for her to find it was a mountain of debt.
“Aunt, don’t you see?”
“See what?”
I spoke calmly, trying to soothe my irritable aunt.
“This is Grandfather’s test. If you pass it, the department store group will be yours. The essence of your business is distribution, so it’s sensitive to the economy and cash flow is crucial. He’s definitely testing that.”
My perceptive aunt understood my point precisely.
After pondering for a while, she asked for my opinion. I wanted to gauge her ambition.
“If it were me, I’d delay the large store plan…”
“I already told you, that’s not possible.”
“Then you need to start making bold cuts.”
“Cuts?”
“Yes. Sell off a few golf courses and get rid of low-profit condos. Keep the department stores and hotels as they are symbolic.”
She frowned as I spoke, clearly not considering any cuts.
Well, it’s natural to resist shrinking the business, as it would make it look less impressive.
“For now, asset liquidation is out of the question. It would seem like a lack of capability.”
No, it’s a very sensible and normal management decision.
When cash is tight, selling something to raise funds is the priority. Grandfather would appreciate that.
“You think pulling money from Miracle is the only solution, Aunt.”
“It’s the simplest. Simple is best, you know?”
I’m not sure if that phrase fits here, but my aunt’s mind was set.
“Do-jun, please talk to Mr. Oh. If I succeed, you succeed too. We’re partners in this, aren’t we?”
I’ve confirmed her ambition, and now it’s time to confirm her trust. Thankfully, she brought it up first.
“Aunt, be honest. Is the promise from last time still valid? Is that what you mean by being in the same boat?”
My aunt hesitated, unable to answer easily. I expected this.
“It’s okay. I understand.”
When I nodded with a smile, my aunt looked even more flustered.
“Understand? Understand what?”
“You’ll become the actual owner by separating the affiliates by the end of this year, but I’m uncertain. There’s no guarantee I’ll get the financial affiliates. In other words, you have cash, and I have promissory notes.”
“That’s true, but don’t misunderstand. It’s not that I don’t want to. Like you said, once our inheritance is settled cleanly, of course, we’ll join hands. It’s just that nothing’s confirmed yet, so it’s hard to give a definite answer.”
I understood her intentions well. She never intended to genuinely join hands with me. She only planned to use me.
I just need to fan the flames of her greed. She won’t be satisfied with just the department store affiliates.
“But Aunt, think carefully.”
“About what?”
“If I end up with Sunyang’s financial affiliates, my mind might change. Sunyang Life alone is worth more than everything you have. My hand might reach out to Uncle then.”
My unexpected words startled her, but I ignored it and stood up.
“Anyway, I’ll talk to Mr. Oh. This is a separate matter.”
A month after receiving my aunt’s proposal, the outline became clear.
Accountants gathered to review the debts and cash flow of the Sunyang Distribution affiliates, compiling a hefty report.
“The large store construction is still under analysis by HW Construction. They can’t even talk about the required funds, and they’re already complaining about a lack of manpower. They need to pour all resources into DMC.”
“Let’s look for subcontractors. In this economy, saying there’s a lack of manpower is nonsense. More importantly, how much does Aunt need?”
Oh Se-hyun shook his head.
“She needs an immediate injection of 400 billion won. Otherwise, she can’t handle the interest. All the money earned by the department stores and hotels will go to interest payments. If monthly sales drop, defaults will start.”
“Grandfather was quite harsh.”
“There’s nothing more to check. This isn’t an inheritance; it’s a debt inheritance. He sent her off with a pile of affiliate debts.”
“But it’s an opportunity for me.”
“Why? To swallow the department store?”
“The controlling shares of Sunyang Group are priceless. They’re stocks that only circulate within their fence.”
“If you weren’t so fixated on Sunyang, you could use that money to buy a better company… No, never mind. Dreams can’t be calculated with rational thinking.”
“It may be irrational now, but once I sit in the chairman’s seat of Sunyang Group, everything will become rational. That position symbolizes not just money, but all power.”
Bill Gates may be under the watch of national authorities, but Chairman Jin Yang-cheol lines them up. My grandfather’s position is more suited to fulfilling desires.
“What do you want to do with that power?”
“I’ll think about that once it’s in my hands. Let’s support the 400 billion won for now.”
I still have 1.6 trillion won left from the 10 billion dollars I exchanged with Grandfather. No matter how difficult the department store group is, it’s not a problem to sustain it.
“The collateral will be stocks, of course?”
“Yes. We need to get the stocks of the parent company, Sunyang Distribution. Calculating the stock value will be a headache for Aunt. Heh.”
As a pleasant laugh escaped, there was a knock on the door.
“Sir, you have a visitor.”
Oh Se-hyun’s eyes widened as he looked at the business card the secretary handed him.
“Oh? This guy… Let him in.”
As I was about to discreetly step aside, Oh Se-hyun gestured for me to stay.
“It’s fine. You can stay. He’s someone worth meeting.”
The man who entered the room bowed his head slightly toward Oh Se-hyun.
“Senior, it’s been a while.”
“Wow… Look who it is! Lee Sang-soo! What brings the successful venture entrepreneur here…?”
For a successful entrepreneur in his early forties, he looked rather shabby.
His shirt collar and cuffs were stained black, his hair was unkempt, and he had a scruffy beard. He looked more like a fugitive.
Even as they shook hands, Oh Se-hyun noticed something was off.
“But why do you look like this? Is your business not doing well?”
“No, it’s just that I’ve been so busy lately… I forgot to change clothes. I’m sorry.”
“No, being busy is good. It means you’re doing well…”
Lee Sang-soo’s gaze turned to me.
“Oh, let me introduce you. This is a friend I work with. Quite the talent, if I may say so. Haha.”
Lee Sang-soo extended his hand first.
“I’m Jin Do-jun.”
His eyes changed.
“Are you from Sunyang Group…?”
“Ah, yes.”
How did he know? Even Oh Se-hyun seemed a bit surprised, suggesting he hadn’t mentioned me before.
“I see. I heard you’re still a college student…”
“This guy’s a bit of a rebel. He spends more time hanging out with me here than at school. Haha.”
Oh Se-hyun laughed, but his expression remained serious.
“I’ve heard a lot about you. They say a remarkable talent has emerged from the Sunyang Group.”
“Rumors, huh?”
Both Oh Se-hyun and I were taken aback. But on second thought, given my recent activities, it would be stranger if there weren’t any rumors.
“Yes. There’s even a whisper that Miracle Investment is actually owned by Sunyang Group and managed by their grandson, Jin Do-jun.”
It’s because of the Sunyang Motors acquisition. Everyone in the industry knows that my grandfather isn’t one to easily let go of a major subsidiary.
“Just gossip. Not that it bothers me if such rumors spread…”
Lee Sang-soo nodded and pulled out a business card.
“New Data Technology. CEO Lee Sang-soo.”
Ah, so it’s him.
A living testament to the reality of Korea’s venture business scene, alongside Gold Bank. Or rather, someone who will become a testament in the future.
Gold Bank, which gained fame in the late 1990s with the idea of “get paid to watch ads,” sparked the first venture boom on KOSDAQ last October. New Data, however, is the company that created the most powerful storm.
Gold Bank’s stock, originally priced at 500 won, has soared to over 10,000 won. It’s the poster child for reckless investment. Flush with cash from its stock surge, Gold Bank is now eyeing acquisitions like credit unions and professional basketball teams. Though by next year, they’ll likely be in trouble.
Lee Sang-soo is the CEO of a company even more anticipated than Gold Bank.
So why does he appear so downcast?