[041] Luck Comes in Waves? 3.
“Do you really think Sumitomo will hand over their epoxy manufacturing technology to us? What about competitors like NEC, Hitachi, and Toshiba? It’s like handing over the keys to the kingdom.”
Chairman Jin raised a valid concern, prompting Lee Hak-jae to smile and present a clever solution.
“There’s no direct link between the chemical company in Cheonan and Sunyang. We can acquire it using the funds lying dormant in Miracle.”
Lee Hak-jae had just proposed a way to utilize the billion won that might otherwise remain inaccessible due to the real-name financial system.
Chairman Jin’s face lit up with a smile as he tapped the table.
“Proceed. Immediately.”
With the chairman’s approval, Lee Hak-jae promptly called in Oh Se-hyun.
“Mr. Lee, you’re not going to repeat the same story, are you?”
“No, it’s something different. We need to make an investment.”
Oh Se-hyun was taken aback by Lee Hak-jae’s confident smile. Could it be that he had found a way to recover the money?
“An investment?”
“Mr. Oh, surely you can’t object to us investing our money elsewhere, can you?”
“It’s possible. But it will be under the name of Miracle, not Sunyang Group, right?”
“Of course. But the influence over the company we invest in will belong to Sunyang. Can you manage that?”
“Are you suggesting we send an executive to exercise management rights?”
“Naturally.”
“I see. So, what’s the name of this company?”
“It’s called Eugene Chemical, located in Cheonan.”
“Coordinate the details with them and let me know. I’ll transfer the funds right away.”
For the first time in a while, the two concluded their meeting without raising their voices.
When I discovered this from the report in my grandfather’s study, I understood why Sumitomo Chemical kept nagging at my mind.
It’s a bomb that can be used at a critical moment. But my grandfather had already seized it.
The silver lining was that, thanks to Miracle, I had a foot in the door too.
And I had another chance to impress my grandfather.
I didn’t put down the report until my grandfather entered the study.
“Hmm? Do-jun, what are you reading?”
I quickly set the documents down on the desk, surprising my grandfather.
“Oh, well…”
“Have you been sneaking a look at the documents again?”
Again? Did he already know?
“Why are you so startled, boy? Did you think I wouldn’t notice?”
His smile showed he wasn’t angry. I lowered my head and scratched it sheepishly.
“Sorry.”
“It’s fine. In fact, I’m impressed. You’re the only one so interested in the company.”
He patted my shoulder and nodded.
“So, what do you think? Do you understand what it’s about?”
He pressed me for an answer when I hesitated on purpose.
“It’s okay. Tell me. You were interested in Sumitomo, weren’t you?”
“So, Sumitomo is halting production and transferring the technology, and you plan to buy it through a small company, right?”
“That’s right.”
“Would you pass this technology to a Japanese company, even if they’re not direct competitors?”
“What do you mean?”
“Doesn’t it bother you? Japan leads in semiconductors, and Korea is catching up fast. It’s not just a corporate issue anymore; it’s a national competition.”
“Japan wouldn’t pass it to Korea?”
“Doesn’t the chairman of Sumitomo Chemical often dine with the heads of Japanese electronics companies? Just like you do with other group chairmen. You’d discuss various things over meals.”
My grandfather’s eyebrows twitched, realizing he might have underestimated the situation.
“I think they’d prevent the core technology from going to Korea. Just my opinion.”
“So?”
If I stopped here, I’d be just another critic. But you always need to offer a solution.
“I’d use a Taiwanese chemical company as a front. Not a Korean one…”
“Taiwan?”
“Taiwan is a cooperative partner for both Korea and Japan.”
Taiwan plays a crucial role in the semiconductor industry, focusing on foundry and packaging.
While Korea and Japan cover everything from design to production, Taiwan specializes in foundry, dominating 65% of the global market and becoming a semiconductor powerhouse.
“Choose a partner, not a competitor?”
“If it were me.”
No further explanation was needed. My grandfather was already picking up the phone.
“Get Mr. Lee, the electronics president, and the guy handling Taiwan from the trading company here, quickly.”
After setting down the receiver, my grandfather’s eyes were filled with affection for me.
“Do-jun, you know a lot about semiconductors.”
“I’ve been studying a bit on my own, with all the talk in the news and media.”
His gaze held twice the affection as before.
The high school I attended was the same one my cousin Sang-jun went to. It was a private school filled with children from well-to-do families.
There were the “sungol” class, the offspring of conglomerate families, and the “jingol” class, children of high-ranking officials, like senior members of parliament or ministers.
Following them were the “yukdupum,” children from families with judges, prosecutors, or media executives.
The lowest tier consisted of the children of salaried employees, like executives or division heads.
While there was a slight difference in how teachers treated students, there wasn’t much discord among the students themselves. At an age where looks mattered most, appearance was the key factor.
Sang-jun, who wasn’t particularly special, was popular among the girls, thanks to inheriting his mother’s beauty, a former actress.
I, too, was a subject of interest as a new student.
Having inherited the same genes, I was as handsome as Sang-jun, but my attitude towards girls and my grades were vastly different.
Unlike Sang-jun, who was friendly with every girl who approached him, I showed no interest. I was too busy with studies and work to waste even a second on teenage romance.
“Are you really going to sell?”
“Think about Dell Computers last year. After selling at $49, the stock plummeted to $10 and is only now recovering. SoftBank will be worse. They’re just a distributor for now.”
“But SoftBank is expanding its business areas. What about the potential value there?”
Oh Se-hyun no longer tries to persuade me. We exchange opinions, and he follows my lead. It’s not just because of our shareholder-executive relationship. He respects my investment instincts, which have never failed.
“In Japan, M&A has a negative perception. The more SoftBank engages in M&A, the more their stock will drop. The results of M&A take time to show. President Son is a long-term thinker, but investors lack patience. They only see the immediate future.”
In July 1994, SoftBank successfully went public.
At 18,900 yen per share, it debuted at the highest price.
Post-IPO, SoftBank secured a massive 200 billion yen. President Son immediately announced aggressive M&A plans, with his sights set globally.
My investment of $230 million turned into $850 million, earning $620 million in a year.
I withdrew before the SoftBank bubble burst and halted aggressive investments.
During my three years of high school, I focused on my studies. Occasionally, I invested in Hollywood films as a hobby, and if there was a risk, it was investing in James Cameron’s Titanic.
The Hollywood adage that water-themed blockbusters always fail was proven by the flop of Kevin Costner’s Waterworld, making it difficult to attract investors for Titanic.
As a result, 20th Century Fox welcomed Miracle’s substantial investment, and the deal was sealed without much fuss.
Fortunately, Sang-jun graduated high school without any major incidents. He didn’t have the grades for a prestigious university, so he quickly left for the U.S. to study.
Though a leaky bucket inside won’t hold water outside, Sang-jun was relieved to escape the family’s attention and expectations.
He could secretly pursue his interests—likely music—without much difficulty.
Now, as the only third-year high school student among the Sunyang Group’s third generation, all eyes were on me.
Would I be the first to get into Seoul National University?
Some watched my grades with curiosity, others with caution, but the only ones truly rooting for me were my parents and grandfather.
The year I spent as a senior, starting with the disbandment of Seo Taiji and Boys, ended on November 13, 1996.
Regardless of wealth, it was a day when all Korean parents prayed fervently—the day of the college entrance exam.
My mother prayed non-stop outside the exam hall, and my grandfather kept his secretary busy checking the exam’s end time.
Confidently receiving the test paper, I was immediately thrown into confusion. I thought I’d breeze through it, but I stumbled on the first question.
The only comfort was the groans echoing throughout the classroom.
If it was due to the overall difficulty, that was a relief, but I couldn’t be sure.
I calmed myself and focused on the exam.
How many one-on-one tutors had my family hired, spending hundreds of times more than the average household?
With such an enormous investment, I needed to achieve outstanding results to save face… Damn, it wasn’t going to be easy.
As I left the exam hall, my mother embraced me with a worried expression.
“It was tough, wasn’t it? It’s okay. It’s all over now.”
“Do-jun, relax. It’s even on the news. They said this year’s college entrance exam was the hardest ever. Don’t worry too much.”
Hearing the news from his father eased his mind a little.
Let’s not expect too much.
I just hope I did as well as I boasted. I prayed for scores good enough to get into Seoul National University’s law school.
“Our youngest, you know, ranked 39th in the entire country? Not just in his school, but nationwide! If you only count the humanities, he’s 10th. The exam’s out of 400 points, right? He scored 367. Just six points shy of the top score. At that level, it’s just a matter of how you felt on the day, isn’t it? Ha ha.”
Chairman Jin had received a memo with the results a day before the official announcement.
He should have called his grandson immediately, but there was someone even more important to inform first.
The chairman of Daehyun Group.
“Getting into Seoul National University’s law school is the least you need to be considered a serious student. But do you think our grandson would settle for Seoul National? He’ll probably choose between Harvard and Oxford. And about scholarships… they should go to kids who really need them, but how can he refuse a scholarship for doing so well? It’s a bit of a dilemma.”
After the call, Chairman Jin felt a sense of relief, a victory even greater than when he surpassed Daehyun Group in the heavy industry sector.
“Now, let’s see… who else can I make envious…?”
Flipping through his phone contacts, he made calls to about a dozen people before suddenly summoning the head of the group’s PR department.
“Take a look at this.”
The executive, after glancing at the memo, bowed deeply and exclaimed, “Congratulations, Chairman.”
“Forget the congratulations. Leak this. Make sure the reporters get some photos of our Do-jun tomorrow.”
“Sorry?”
“Why are you so surprised? What do people think? They gossip that the children of conglomerate families buy their way into prestigious universities. Can you buy a score like this? Can you pull strings for it? Make sure no one can say that again.”
“Ah, yes. Understood, Chairman.”
After the PR executive left, Chairman Jin couldn’t wipe the smile off his face. But then, a pang of regret hit him.
If Do-jun went abroad for his studies, he wouldn’t see him for at least five years.
A grandson he adored more than anything… He wanted to keep him close. Forever.