Story of a Big Player from Gangnam - Chapter 933
Chapter 933: Big Fish (3) – Part 2 <Final Episode>
Party Leader Jin-Woo Lee didn’t state that he would run for President, but he said he was willing to run for President, as he was indicating his intention. He was a politician already, who always prepared a way to escape from everything if the situation changed. However, his statement was powerful even though he didn’t show his absolute intention and strong will to run for President. News reporters started covering his story with a subject line that read as, [Party Leader Jin-Woo Lee implied his intention to run for next President.]
As soon as the news became available to the public, Dyeon Korea’s stock hit the upper limit right away. A Electronics’ stock price also increased by 7.5%. Dyeon Korea hit the upper limit again the following day, and A Electronics’ stock increased again by 4%. At that point, an unexpected thing happened. No one saw it coming. It was A Electronics Group’s chairman. He said,
[I naturally do not like politics. However, if my son-in-law—Jin-Woo Lee—who is a decent public officer and also Gongmyeong Party’s leader, runs for President, I will support him within my power. A son-in-law is also my son.]
As this news was spread out, A Electronics’ stock price increased by another 12%.
The response to this news was different among the investors with Dyeon Korea’s stock and A Electronics’ stock. The investors who were holding Dyeon Korea’s stock mostly sold the stock to make profits, and that made the stock price start dropping. On the other hand, A Electronics’ stock price kept increasing.
Gun-Ho found it weird that A Electronics Group’s chairman made that statement, especially at this very specific timing.
‘What? A son-in-law is also his son? So, he’s going to support him all of a sudden? He has kept his silence all this time, and he made that statement just now. Maybe Party Leader Jin-Woo Lee and A Electronics’ Group chairman planned this together, so they could make huge money out of it. That crafty old man!’
Gun-Ho thought about A Electronics Group’s chairman who he met once before, and also Chairman Lee from Cheongdam Town.
‘They are awfully smart masters in this field. He has clearly kept his stance that he didn’t like politics and that he was displeased by his son-in-law getting into politics, until now. And, he made the statement that he would support his son-in-law, resulting in a steep increase in his company’s stock price. Maybe the one who kept purchasing A Electronics’ stock all this time is probably them. Well, it is true that I made good profits out of it as well. It is actually a good strategy.’
Gun-Ho decided to sell all of his A Electronics’ stock by next week.
‘The people who have been gathering A Electronics’ shares will soon slowly start selling them in the stock market. I should do it before they do. The opposing party wouldn’t stay quiet. They will find a vulnerable point of Party Leader Jin-Woo Lee and attack him. That’s how politics work, isn’t it? I’d better sell my A Electronics’ stock before that happens.’
One week later, Gun-Ho sold all of his A Electronics’ stock that he was holding. Because of its massive number of shares, it took him another 3 days to sell them. With 600 billion won of investment, he made profits of 85%. It didn’t double or triple his initial investment funds like a small company’s stock might have, but once he sold them all, he had 1 trillion and 110 billion won in his stock account. If he combined the amount with the leftover of 70 billion won in his stock account, he now had 1 trillion and 180 billion won in cash. Gun-Ho was 39 years old at that time, and it was April.
Gun-Ho felt grateful for everyone and everything. He finally achieved his lifetime goal. He decided to turn his focus on protecting his money and spending some to contribute to society, rather than on making more money. Also, he needed to figure out how he could save taxes that would be soon imposed on him and his business.
Gun-Ho made the public announcement that he no longer owned A Electronics’ stock.
GH Asset Management Company’s President Son came to Gun-Ho’s office.
“As you guided us, sir, we made profits by investing in Dyeon Korea. We sold them all after its price hit the upper limit twice.”
“Did you make the profit of 60% then?”
“No, sir. The price had increased already before it hit the upper limit, so we made 100% profits.”
“So, the asset management company is now loaded with 20 billion won, right?”
“Yes, sir. It’s 20 billion won.”
“We won’t distribute dividends next year, but I will increase the company’s capital with its profits. So, keep up the good work.”
“Thank you, sir.”
Gun-Ho decided to reinvest the profits in the company, that the asset management company made because the investment funds that they were using seemed to be not enough. Gun-Ho already had enough cash, more than 1 trillion won, so he didn’t have to collect that profit.
It was May. The air was filled with the scents from Acacia flowers.
Director Kang received a call from Style Apparel’s owner president.
“I was just saying when I told you that I would sell the building in Bangbae Town for 30 billion won. Here is my serious offer. I will sell my building for 28 billion won.”
Her reason to sell the building in Bangbae Town was to expand her store in Cheongdam Town. Director Kang insisted that the building was overpriced and that the building was not that worth that much. But, Gun-Ho told him to prepare the sale and purchase contract.
Gun-Ho bought that building in Bangbae Town with Young-Eun’s name. Young-Eun was staying home, at that time, after the clinic that she was working for moved to another city. She was taking a rest at home while working as a full-time mother.
“Young-Eun, do you remember the building across the street from the building where you worked? I purchased that building, I mean the entire building.”
Young-Eun was startled. It was hard enough to lease a space in a building, but Gun-Ho bought the entire building. That was not all. Gun-Ho bought the building with Young-Eun’s name. Young-Eun didn’t know what to say.
Gun-Ho said, “A businessman always has to take a risk to a certain extent; it’s part of the nature of a business. That’s why your father wanted you to marry another medical doctor, not a businessman. If I broke someday, I want you to be left with at least this building. That’s why I bought it under your name. This is for you and our boy—Sang-Min.”
Young-Eun burst into tears.
After finishing renovating the building, Young-Eun established a medical corporation. She then brought her friends from college who were also medical doctors to the hospital and worked together. She set up 3 clinical departments—neurosurgery, endocrinology, and rehabilitation— and she took the chairman position of board of directors for this hospital. Her hospital was introduced to Seoul National University’s newspaper, and Young-Eun was depicted as a proud alumna.
It was June.
GH Mobile’s building management department moved its office from the 18th floor to 17th floor, and Gun-Ho’s office was expanded to be a lot larger in size than before. A new office was also opened next to Gun-Ho’s office, which was the personal secretary office for the chairman. The office was redone with a more luxurious interior. The 18th floor was now occupied by the chairman’s office, the personal secretary office for the chairman, and GH Asset Management Company. Gun-Ho spent most of his days reading a book in his office.
All communications between GH companies and Gun-Ho were done by Manager Hong, such as matters related to each company’s loss and profits, official announcement letters, and taxes. Gun-Ho once received a request from W Group to make a pretense of participating in acquiring a building called Star Building. He wrote a letter of intent for them, but he made it brief. Star Building was worth 500 billion won, and Gun-Ho’s name appeared again on newspapers for it. News reporters wanted to cover the story of Gun-Ho as they were curious about who was the big player who could afford to buy that building.
Three years passed by, and GH Mobile paid most of its debt, and it finally went public. GH Machines also succeeded in getting into the defense industry and eventually became a public company as well. After going public, GH Mobile and GH Machines were loaded with a substantial amount of cash, and with that fund, they expanded their business to construction, electronics, and heavy equipment by acquiring existing companies. Gun-Ho didn’t have to spend his personal fund of 1 trillion won to make these happen.
When Gun-Ho turned 48 years old, GH companies’ assets were over 10 trillion won, and he finally declared that GH companies became a conglomerate company. Gun-Ho finally and officially made GH Group.