InkBound
patreon
CH262 | GSI
🕑 Added 2025-03-29 04:07:13 +0000 UTCDonghae Group Headquarters, Yeongdeungpo, Seoul.
Woo Yong-gap sat at his spacious mahogany desk, reviewing approval documents when a knock sounded at the door.
His chief secretary, Jeon Hae-cheol, entered.
Holding a stack of documents in one hand, Woo Yong-gap looked up as Jeon Hae-cheol approached.
"What is it?"
"I have something to discuss with you."
Woo Yong-gap studied his secretary’s tense expression for a moment before removing his reading glasses and setting them down on the papers.
"Let’s talk over there."
He stood up, walked around the desk, and took a seat at the center of the sofa. Jeon Hae-cheol followed, sitting to his right.
Crossing one leg over the other, Woo Yong-gap leaned back and asked,
"Alright. What is it you need to say?"
"It’s about Executive Director Woo."
At that, Woo Yong-gap’s eyebrows furrowed slightly.
"Has he caused trouble again?"
Feeling the weight of the chairman’s gaze, Jeon Hae-cheol leaned forward and let out his pent-up frustration.
"He’s being reckless in the process of acquiring Mido Department Store."
"Are you referring to the decision to raise the public tender price from 50,000 to 70,000 won?"
Woo Yong-gap’s eyes narrowed.
"It’s not just that. He also engaged in transactions with Baekje Industries without your approval. And just recently, he arranged for a massive additional loan from Peregrine Securities in Hong Kong. That’s only the tip of the iceberg."
Though Jeon Hae-cheol had listed several serious concerns, Woo Yong-gap remained indifferent.
"Big deals never go exactly as planned."
"…!"
"And in a fast-moving situation like this, being indecisive can cost us control. Sometimes, making quick decisions first and reporting later is the smarter move. Isn’t there a saying—'act first, explain later'?"
If this had been the past, he would have exploded in anger. But instead, he seemed to be defending his son, which left Jeon Hae-cheol deeply unsettled.
Woo Yong-gap continued, speaking as if it were no big deal.
"Besides, while he may have acted on his own, he didn’t try to hide anything. He informed me right away and sought my approval. I don’t see an issue."
"But the additional loan from Peregrine Securities is a major problem. The terms are too unfavorable. Even if we succeed in acquiring Mido Department Store and Daehung Group, the financial burden will be severe."
Jeon Hae-cheol emphasized his concern, his voice firm.
Yet Woo Yong-gap remained unfazed, his expression unchanged.
"To catch a big fish, you have to accept some losses."
"……."
"Even if we take on some risk, once we absorb Daehung Group, we’ll be able to handle it all without issue. No need to worry too much."
Then, almost as if justifying Woo Ho-geun’s actions, he added,
"You must have heard that the Federation of Korean Industries (FKI) just issued a statement opposing this M&A attempt."
"…Yes."
"At this point, there’s no turning back. If we want to finish this before things escalate further or before the FKI steps in, we need to act boldly."
"But…"
Raising one hand, Woo Yong-gap abruptly cut off Jeon Hae-cheol mid-sentence, his expression turning stern as he fixed his gaze on him.
"I assigned you to Executive Director Woo to help him succeed, not to stand in his way."
At that moment, Jeon Hae-cheol realized that the way Woo Yong-gap looked at him had changed.
"Woo may have taken the initiative, but he later came to me for approval. Yet here you are, running to me as if tattling on him. Frankly, I find it unpleasant."
The cold distance in Woo Yong-gap’s eyes left Jeon Hae-cheol momentarily speechless, his shock rendering him unable to respond.
Even after more than twenty years as a close aide, the painful truth became clear—blood ties would always come first, while he was merely a tool to be used.
Whether he understood Jeon’s disillusionment or not, Woo Yong-gap leaned back against the sofa and spoke in a dry, warning tone.
"I value you, but that doesn’t mean you should overstep your boundaries."
"…I see. I suppose I was too short-sighted."
Jeon Hae-cheol answered, struggling to conceal his disappointment and humiliation.
As he lowered his head in silence, Woo Yong-gap cast an indifferent glance at him.
"Good. Keep today’s conversation in mind at all times."
"I will."
Just then, a knock sounded, and the secretary stepped in.
"Executive Director Woo is here."
"Let him in."
The secretary stepped out, and moments later, Woo Ho-geun entered the chairman’s office, wearing a luxurious blue tie.
Glancing briefly at Jeon Hae-cheol, who was already seated, Woo Ho-geun raised his chin with a smug expression.
"It seems you two were in the middle of a conversation."
"We just finished. Have a seat."
"Yes, sir."
Woo Ho-geun walked over to the chair opposite Jeon Hae-cheol, unbuttoned his jacket, and sat down comfortably.
"What’s the update?"
"The final numbers will be confirmed this afternoon, but I wanted to report the tender offer results as of this morning."
Woo Yong-gap, already eager for the update, straightened his posture and asked,
"Alright. What’s the count?"
"So far, we’ve secured over 1.6 million shares. By the closing deadline, we’re projected to exceed 2 million."
"Two million shares… That’s about 13% of the total equity."
"That’s correct."
"Adding that to what we had previously secured, we’ve now surpassed 34% ownership."
Woo Ho-geun spread his shoulders confidently.
"Yes. With this, we now have a clear advantage over Daehung Group."
"Well done."
Woo Yong-gap, pleased with the results, smiled broadly and offered generous praise.
Meanwhile, Jeon Hae-cheol couldn't share in the excitement. Instead, he mentally calculated the financial toll of the tender offer, and his expression darkened.
At a buyout price of ₩70,000 per share, acquiring 2 million shares alone would cost a staggering ₩1.4 trillion.
‘And that’s not even counting the funds already spent accumulating shares earlier… This is sheer madness.’
The astronomical figure left Jeon shaking his head internally.
On paper, the asset value of Mido Department Store was only around ₩4.2 trillion.
‘That figure only shot up after they acquired the former Sampoong Department Store site.’
Of course, if they reappraised the department stores in Myeong-dong, Cheongnyangni, and Sanggye-dong, the asset valuation would likely exceed ₩5 trillion.
But even taking that into account, they had grossly overpaid for the shares.
The only reason they could justify such a gamble was the bigger prize at stake—securing Mido’s management rights would give them a pathway to swallow Daehung Group, a conglomerate worth several trillion won.
The problem was that the group’s cash reserves were nearly depleted due to the aggressive spending. And although they had gained an advantage, it wasn’t enough to guarantee control over Mido just yet.
‘Without securing 50% plus one share, we can’t predict what will happen at the general shareholders’ meeting.’
But advising caution would be pointless. The atmosphere was not one for listening—especially after the betrayal and disappointment Jeon had just felt from Woo Yong-gap.
Rather than voice concerns and invite another rebuke, he chose to keep his mouth shut.
‘I never thought I’d be pushed aside like this.’
While Jeon sat in bitter silence, Woo Ho-geun—his confidence soaring—laid out his plan.
"Even after the tender offer wraps up, we’ll continue accumulating shares and demand an extraordinary general meeting of shareholders."
Woo Yong-gap nodded approvingly.
"That’s the way to do it. At times like these, you have to keep the pressure on. Don’t give the opponent even a moment to breathe—push forward until the very end."
"Exactly."
"There won’t be any issues with securing additional funds from Peregrine Securities in Hong Kong, will there?"
"I’ve already finalized discussions with Vice President Hurd. ₩600 billion will be deposited today."
Seeing everything fall into place, Woo Yong-gap smiled in satisfaction.
"I’ve spoken with Director Lee. We’ll raise another ₩427 billion through loans and credit guarantees from our subsidiaries."
"Understood."
Woo Yong-gap casually crossed one leg over the other and continued.
"To solidify our position before the extraordinary shareholders' meeting, we’ll need even more capital."
"Yes. To sustain the stock purchases and acquire stakes from undecided major shareholders, we’ll need additional funds."
Pausing in thought, Woo Yong-gap stroked his chin before shifting his gaze toward Jeon Hae-cheol, who had remained silent.
"Jeon."
"Yes, sir. Please go ahead."
"Use our factories in Incheon, Suwon, Busan, and Bupyeong as collateral to raise as much private funding as possible."
Jeon’s eyes widened in shock.
"Collateralize the factories, sir?"
"That’s right. A bank loan would be ideal, but we don’t have the luxury of time. Even if private loans come with high interest rates, we have no choice. Once we acquire Daehung, we’ll sell off unnecessary assets and pay it back. For now, just secure the funds."
It felt as reckless as betting on a high-stakes gamble, planning to repay it with future winnings.
Jeon couldn't shake his unease, but he suppressed his concerns and simply followed orders.
"Understood, sir."
Woo Yong-gap, filled with anticipation, burst into laughter.
"Just thinking about how close we are to taking over Daehung Group makes my heart race. Ha-ha!"
Woo Ho-geun, equally triumphant, smirked.
"Didn't I tell you I'd make it happen?"
"Yes, keep up the good work just like this."
Watching the two men act as if they had already conquered Daehung Group, Jeon Hae-cheol struggled to suppress the lingering unease gnawing at him.
Just then, a knock sounded, and Section Chief Oh Sang-hyun stepped inside, bowing his head.
"I apologize for interrupting."
From across the room, Jeon immediately noticed the urgency written all over Oh Sang-hyun’s face, and his heart sank.
Woo Ho-geun, annoyed at the disruption, scowled and snapped,
"What is it?"
Straightening his posture, Oh quickly delivered the breaking news.
"Just moments ago, Mido Department Store announced that it has sold its entire 32.8% stake in Daehung Textile to Daehung Venture Capital."
"……!"
A stunned silence swept through the room.
But only for a moment.
As the weight of the situation sank in, the three men’s expressions twisted in shock and disbelief.
Woo Ho-geun was the first to react, leaping to his feet and shouting,
"Is that true?!"
"Yes, sir."
Oh Sang-hyun, looking as if he were guilty of some crime, shrank back slightly as he answered.
Jeon Hae-cheol, who had sensed impending disaster the moment Oh entered, clenched his teeth and shut his eyes tightly.
Without the textile shares, even if they poured a fortune into securing Mido’s management rights, their ultimate goal of absorbing Daehung Group as a whole would become impossible.
Woo Yong-gap’s expression turned cold, his earlier smile vanishing completely. His fists clenched so tightly they seemed ready to draw blood.
"Those sneaky bastards… They really blindsided us."
Grinding his teeth, he finally lost his temper, slamming his fist onto the armrest of the sofa.
"Goddamn it!"
