Chapter 462: I Wouldn’t Even Consider Acquiring It

"I'll head to the U.S. before the summit. Let's start negotiations first. Since the summit is in June, April should be perfect. Send Myeong-su to Washington as a special envoy then."

Yoon Chang-ho's face brightened visibly.

"You'll do that? That takes a load off my mind."

"Don't get your hopes too high. Revising SOFA will be difficult but I'll try to get those involved in the two girls' deaths extradited. That should help sway public opinion though nothing's guaranteed."

"I understand."

Yoon Chang-ho smiled while extending his glass.

From his expression he firmly believed I'd deliver results no matter what.

Can't betray that trust. I returned his smile while clinking my glass against his.

The drinking session deepened as we discussed various other matters.

"What do you think about Yongsang Motors?"

"Yongsang Motors?"

"Since the transition committee there's been lots of discussion about selling Yongsang Motors."

Yongsang Motors. A company that kept eating away at Korea's economy.

During the financial crisis other bankrupt car companies were merged into Ilseong Motors and Daehyeon Automotive respectively.

But Yongsang Motors went through a workout process.

Come to think of it rumors about overseas sales should be starting to circulate around now.

"Kim Hak-gwon's administration already approached several foreign automakers about selling but not a single company showed interest."

"Hasn't Yongsang Motors moved past its crisis somewhat? Should be a decent acquisition target."

Yongsang Motors finally turned a profit last year after their new SUV they'd poured their heart and soul into succeeded.

Their first profit in five years.

But behind that glory lay hundreds of billions in public funds injected multiple times.

They'd saved a company using taxpayer money.

Now the government seemed to be discussing the timing to recover those public funds by selling Yongsang Motors.

Yoon Chang-ho relayed that while negotiations had been ongoing under Kim Hak-gwon's administration no companies showed interest.

I nodded silently. I already knew Yongsang Motors' fate.

Yongsang Motors would eventually be sold to a Chinese auto company. But that was the wrong choice.

China would only steal Yongsang Motors' core technology and key researchers while neglecting actual management.

"Surprisingly there aren't any interested investors. The creditors are insisting we need to sell while it's profitable to get a good price."

I hid my lips behind my glass while deep in thought.

Would anything change if I told Yoon Chang-ho the future I knew?

No matter how I thought about it only negative outcomes came to mind.

If there was just one problem I could try fixing it but…

Yongsang Motors was like a bomb wrapped in complex issues.

Even if they got past this hurdle it was obvious they'd remain a headache.

"As you know the auto sector is a crucial industry creating countless jobs. Even selling to foreign companies requires conditions like not withdrawing domestic auto plants… With various conditions attached everyone's just watching. Plus domestic companies are reluctant to acquire Yongsang Motors."

Of course domestic companies would avoid Yongsang Motors.

The domestic auto industry was a battle between Daehyeon's dominance and Ilseong's attempts to check that power.

Though unlike before Ilseong Motors showed notable progress after acquiring Jungwoo Motors.

For domestic chaebols this business held absolutely no value worth jumping into.

"Even I wouldn't consider acquiring it."

"Why do you think so?"

Yoon Chang-ho asked while pouring me a drink.

"First the domestic market is too narrow. Daehyeon and Ilseong Motors already split the market. Jumping in there carries too much burden. Looking overseas doesn't offer much value either since Korean cars have low brand recognition globally. If anyone makes an acquisition offer they're likely after Yongsang Motors' technology."

"…You're saying no one will acquire it through normal means?"

"Well China might show interest. But they won't pay fair value and even if the sale succeeds they won't invest. They'll just steal the technology and abandon it. You'll have to face the full backlash then Mr. President."

Yoon Chang-ho's face darkened at the mention of backlash.

Kim Hak-gwon's economic policies had achieved some success.

They quickly escaped the financial crisis and IMF management system while reforming chaebols' structural issues.

While opinions split on diplomatic policy economic policy received generally favorable views.

Taking over the baton Yoon Chang-ho couldn't afford to fall behind Kim Hak-gwon.

His choice was selling Yongsang Motors.

They couldn't keep injecting public funds and couldn't ignore creditors' demands either.

"China… China huh."

"Personally I oppose selling Yongsang Motors to Chinese companies. Though I feel awkward saying this as someone who's invested heavily in China they're not a country where common sense applies."

"Hmm…"

Yoon Chang-ho filled his beer glass with soju and downed it in one go feeling frustrated.

"Haa… This is frustrating."

I quietly observed Yoon Chang-ho.

There must be a reason he deliberately brought up Yongsang Motors in front of me.

He probably hoped I'd acquire Yongsang Motors.

"Mr. President are you hoping I'll acquire it?"

"…Honestly I can't say I don't. You'd have the capability after all."

Capable huh. Of course I was capable but I was an investor.

I had no intention of throwing money at a business with no value.

"Well… It holds little value for me too."

Anticipating my negative response Yoon Chang-ho nodded saying,

"I understand. It would be tough for you too."

"But I could look into potential buyers. I'll check around though don't expect much. Only India or China might show interest and getting fair value will be tough."

"The creditors probably aren't expecting fair value either. Heungseong Bank the main creditor needs to be sold soon too. They'll likely merge with Hanshin Bank. They must be in a hurry to dispose of Heungseong Bank's bad assets before then."

The IMF's aftermath still plagued Korea's economy.

Many banks barely maintained operations through government public funds.

The Yoon Chang-ho administration's first task was bank integration.

Credit card crisis eating away household finances and banks' insolvency eating away national economy. All of this needed cleaning up.

Yoon Chang-ho's administration was left dealing with the aftermath of Kim Hak-gwon's economic policies.

"I heard there's strong resistance from Heungseong Bank. They say they can survive independently but are being forced to sell."

"I recently got a report too. After reviewing materials from Kim Hak-gwon's administration the transition committee said merger was the best option. Kim Hak-gwon's administration had reasons for that choice. Plus consolidating into various financial companies like Taesan Financial Holdings is good for our economy."

Hanshin Bank established less than twenty years ago acquiring Heungseong Bank with its hundred-year history.

Both labor and management at Heungseong Bank would find it hard to accept.

But I knew.

That Mofia's influence was behind this merger.

Since it didn't greatly concern me I didn't bother interfering with their actions.

Though Hanshin Bank was established with funds from Japan they were Korean-Japanese funds not Japanese.

There was no particular reason to reject them.

"The union at Heungseong Bank will rise up. Won't that burden you at the start of your term?"

"Any choice will be burdensome. I'm not too worried about Heungseong Bank's union. Yongsang Motors' union is the real problem."

Yoon Chang-ho spoke truth. Bank unions and auto unions operated on different levels.

"What's the deadline? Including Heungseong Bank's sale."

Bad debts needed clearing before Heungseong Bank's sale could proceed.

I asked knowing Yongsang Motors' sale timing would depend on that.

"The merger should finish within two years at latest. Can you wrap up Yongsang Motors' sale before then?"

"Should be possible."

"Then I'll trust you and prepare for the sale."

"Warn the creditors too. The more they try to inflate asset valuations the less likely buyers will appear. They might end up selling for less than half price that way."

Yoon Chang-ho extended his glass while nodding.

"Don't worry. I'll prevent any forces from interfering this time. I'll ensure a fair sale process. Anyone who tries to meddle or shows greed will learn what making an example means."

Yoon Chang-ho spoke firmly. We clinked glasses hard and emptied them.

"I'll put my trust in you."

"Since you trust me I should repay that trust. I'll look for proper buyers."

"Having your expertise makes me feel so reliable."

I just smiled at Yoon Chang-ho's words.

Our drinking session continued until dawn.

We discussed many things.

Yoon Chang-ho explained how he'd run the country while sharing his dreams.

I just nodded and listened to his thoughts.

Though he insisted I stay over I declined. Much work remained.

Only late at night did I leave the Blue House residence after seeing him to his bedroom.

Manager Ma waited outside.

"Sorry for the long wait. The drinking session went longer than expected."

"Not at all."

"Let's head home."

Manager Ma opened the car door. The car quickly left the Blue House heading for Pyeongchang-dong.

A week had already passed since Yoon Chang-ho's inauguration.

"Han Ji-ho recanted his testimony?"

Goryeo Daily's front page still covered Seo Jae-hoon's story.

"Yes. He recanted his testimony and terminated his proxy contract with Il-seong Group's legal team."

"He'll get a court-appointed attorney."

"That seems likely."

The moment Han Ji-ho gave proper testimony Seo Jae-hoon was finished.

"Get him a lawyer from Yun & Jang. Make sure he doesn't change his mind again. He's changed it once he could do it twice."

"Understood. I'll contact Chairman Yun to send a competent attorney."

Manager Ma remained in the study even after finishing his report.

This was unusual. Looking at him questioningly he spoke up.

"Boss I have something to report about Cheon Ji-won as you previously instructed."

"Ah they're finally making their move? Have a seat. This might take a while."

Manager Ma nodded and sat down.

"It took longer than expected."

"Yes. The major shareholders we're plotting with seem to be wavering."

"Oh? Tell me more."

Manager Ma spent considerable time explaining the operation's outline they'd investigated.

Only after the lengthy explanation finished could we catch our breath.

"So without the major shareholders' participation and approval the operation can't proceed?"

"Yes that's what we were told. Given all the operators involved said the same it must be true."

"But the recruited major shareholder changed their mind?"

Something smells fishy. I asked with slightly furrowed brows.

"Yes. They're demanding more than the agreed amount."

"Interesting. Fighting over money they haven't even gotten yet."

I let out a hollow laugh. To swallow prey bigger than yourself you should be prepared to die.

"So what does our prepared team plan to do?"

"They plan to steal shares during account switching while doing cross trading."

Cross trading huh. Looks like they're trying to maintain a facade of legality.

"All of Cheon Ji-won's money went into this operation right?"

"Yes. They reportedly took out all possible loans against their buildings and real estate to invest in this operation."

"Good. Tell them to make this operation fail even if it takes time."

"Understood."

I smiled raising one corner of my mouth imagining Cheon Ji-won jumping into the fire pit themselves