Translator: Khan
Editor: Aelryinth
"Are you here?"
I entered the company in a line of greetings, wearing jeans and a sweater. The employees were not surprised by that, because sometimes I went to work dressed like that. But they were a little surprised that even Secretary Seo went to work in his private clothes. Ji-hoon was always dressed up in a clean suit. But I brought a carrier, and they guessed that we had been somewhere, but come back in a hurry.
I sat down in the office and soon Secretary Seo came in with Vice President Jang.
"Did you have a good vacation?"
"Yes, it was good. Oh, I bought a gift for Vice President Jang. Secretary Seo."
In my words, Secretary Seo took out the watch box he had and handed it to Vice President Jang.
"No, you don't have to do this..."
"I think we were the only ones having fun when you were working."
Vice-President Jang took the watch box and opened it. "Oh, it's beautiful." He was usually rather grim, and looked a little surprised by the splendor of the watch. "Thank you, boss."
Perhaps he'd be more surprised to know the price of the watch, but it'd be better for him to look it up and know than me letting him know.
"Please work hard in the future, and as I said before..."
"Yes, I have it ready." Vice President Jang handed me the report at his waist.
Kai Games Analysis Report
I took it and turned it over page by page. Its market capital was $120,000,000. Sales had increased and decreased, but it had been jagged. The CEO Shin Dong-woo was a young man, just forty-four years old. He started out as a game developer for big game companies such as JC and worked on a big project, and at the age of 34, he founded Kai Games. He developed Full 3D MMORPG New Earth Online, which was popular at the time, and listed in the market after it came out.
Since the company was listed, it had not achieved much. When the new game came out, the stock price went up in anticipation. However, when it opened, it was only so-so, so the stock price went down. The same situation had been repeated again and again.
'That's great. This new game is the best, but maybe everyone thinks it's no big deal again. It is similar to a Rice Barley Game.'
'Barley, barley, barley, barley, barley.' If someone gives out barely five times, the person who catches barley usually predicts that it will come out again next time. But this time, it's really nice. The person who catches it is the real owner.
I saw the most important stake situation.
Zhiyuan Limited 24%. The top shareholder was a Chinese company.
I looked at it and said, "The top shareholder is Chinese?"
Vice President Jang explained it to me. "Yes. Three years ago, they did the capital increase with consideration of a third party when they imported New Earth MMORPG. It's a way to get it back, while giving out royalties."
Whether it was an entertainment company or a game company, Chinese capital had come in quite a few times. It seemed like that was the case with the Kai Games.
'I have to be a major shareholder in order to be recognized for control. Their stake is 24%...'
This was a real boon. I wanted to incorporate it into my subsidiary rather than just making a profit. That would help me upgrade to a Master Class, killing two birds with one stone. I looked down.
Shin Dong-woo 18%.
Shin Dong-woo, the company's founder, was the second-largest shareholder. It was not much for being the founder.
"The founder does not have a huge stake. That's probably because of the dilution of the Chinese company coming in, right?"
"Yes, boss."
'He'd better keep his stake as the CEO. That way, he'll have the desire to work. If he sells his stake now, it could disrupt the development of the game...
'It will hurt more if the stock price rises later. The game may have a negative effect. The reason why parents raise their own children is that love is the first thing, but the second thing is that they expect their children to be good to them.
'I guess the answer is to contact the Chinese people anyways.'
I came to a conclusion. It'd be better if I were to become a major shareholder in this company, and had no problem with the game's development.
'Okay. Then I'll ask Jang to…'
I looked down further, thinking that way, but I didn't think much. I had already come to a conclusion. But there was a familiar name for the third major shareholder, Tak Joon-gi.
"Tak Joon-gi 5.6%."
"He is the Master T of the Garden Envy, and a grandson of Tak Jin-woon, founder of Suyeon Group."
I had muttered the name out of my mouth without realizing it. But when he heard it, Vice President Jang gave me a further explanation, "As you can see, he is one of the successors of Suyeon Group, and a travel agent's director. He is also a big hand in the stock investment business, who's been working here and there because he likes to invest in stocks."
I knew a lot about that. But nevertheless, I pretended not to know.
"Oh, I see... the heir apparent of the Suyeon Group..."
"Yes, but in the investment industry, his yield is quite high, and he is called Midas' Hand. He makes a lot of bold investments and a lot of profits."
"Ooho..."
'Come to think of it, what he says is right. Tak Joon-gi is in this Kai Games, too. He is good at stocks. The stock price will start to fluctuate in the winter.'
At that time, Vice President Jang said one more thing, "It's a rumor, but it is known that he works with forces that manipulate stock prices to maximize their profit margins."
'Forces that manipulate stock prices... does he mean Garden Envy?'
It was not an open force that operated publicly. However, it was correct that they rigged the market.
"Oh, he is an unusual person."
"I heard his personality is quite unique, too."
"How?"
"Well... I don't know the details. In any case, according to rumors, he often spoke and behaved unlike the grandson of the chairman of a large company. That's why he's treated like an abandoned son in the Suyeon Group, and I know he's quite behind in the inheritance ranks."
'He is a mysterious person. Maybe we'll meet in the real world, like Kaiji. I might be making a deal with him about his 5.6 percent stake.'
With that thought, I read the report thoroughly and carefully. It was also written about the game. "Battle Royale Genre Fantasy War Ground to be released in December."
'It's mid-December, so it's too close. It's mid-September, and if it's released in December as scheduled, it's only about three months away. They're still in the development phase, so no one knows if it's going to hit the jackpot or not.
'The stock price of Kai Games is struggling ahead of the new release. Usually, game stocks go up in anticipation of the new releases, but people find out if games are fun or not after the release.
'If that happens, the stock price will go up. And when it's released, it goes out of control. Fantasy War Ground will be a huge hit all over the world, and the value of Kai Games will be different then.
'Because of that, we have to make a deal before then, there is a high chance that this $120,000,000 company will become a company worth a billion dollars. The money I have in my account is about $55,000,000!'
I picked up my cell phone, thinking about it.
[Taegwangbangjik $36.50 +29.8%]
I found that Taekwangbangjik, which I made a partial purchase in while touring Hong Kong, was at the upper limit price. I corrected my thoughts.
'No, I have about $60,000,000 in my account right now. Until then, I will increase my money as much as possible, and acquire it at an appropriate price.'
Having reached my conclusion, I put the report down next to me. There was a report on the 'Blue E&M' I had received last time. I spoke to Vice President Jang, "Have you been in contact with the Sapphire TV... or Blue E&M?"
"Yes, boss. I contacted him while you were in Hong Kong."
"What did he say?"
"He was very pleased with our contact. He seemed desperate for new investment."
"Yes, then... just tell him the Blue E&M is under consideration. Let's play games with him a little bit. Now we should focus on the acquisition of Kai Games."
"Do you think so?"
"I think... this Kai Games is more likely to grow rapidly, and there's good news coming in December. Let's target Blue E&M after the acquisition of Kai Games. If you think about it, personal broadcasting is good while being connected with entertainment, but don't you think it's better to connect with games? "
"Is that so?" Jang seemed to be a little weaker in that area because he was older.
"Yes, there are a lot of game shows in personal broadcasting."
"Aha, I didn't know that."
"Anyway, let's make Kai Games the first priority and try to take it over. Mr. Jang, please contact the Chinese company first. Let's start by wondering if they'd like to transfer their shares."
"Yes, I see. How much do you think about the amount of the transfer?"
The Chinese company's stake was roughly $28,800,000. I opened my four fingers and said, "Up to $40,000,000."
Vice President Jang was a little surprised. "Yes? Then the premium is over 30%... Don't you think that's a little bit high?"
Of course, it was a lot more, compared to the price right now. But 30 percent would just go up in a day. I said, "That much, I'm sure this company, this game will be a success. So please work with the idea of bringing this into our company."
"Yes, boss," Jang bowed his head and left the room.
Seo, who was standing by him, spoke to me, "Boss, will this Fantasy War Ground be a real success?"
"Yes, I thought so when I saw it."
"I've been looking for a video on YouTube, and... I don't think it's going to make a lot of money. There are too many battle royal genres these days... Can it get a big hit?"
To be honest with myself, I wouldn't have been so sure just by watching the video. In the first place, games, novels, movies, and blockbusters might be quite predictable. However, it was near the realm of God to predict a big hit that would dominate the times. Still, I spoke in a confident voice, "It looks good. Wouldn't it be fun to play battle royals in a fantasy world?"
Ji-hoon said with pursed lips, "I played a game from this Kai Games company when I was a student... I didn't feel anything great."
But when I heard that, there was an anecdote that came to my mind in the past. I said with a low voice, "Hey Ji-hoon."
"Yes?"
"Didn't I tell you before? People in foreign countries say to a person who failed once, 'You failed last time, so you will do well this time.' But Koreans say to a person who failed once, 'You failed last time, so you will fail again this time.' "
"Oh, yes..."
"That's what you look like now."
"Yes," Ji-hoon nodded, his eyes stiff.
I looked at him and said, "I think. Stock investing is similar to fiction."
"Yes? What do you mean…?"
I sat back in my chair and said, "When both have a reversal, it's the most dramatic."
Ji-hoon tilted his head as if he was not sure what I was talking about.
"Think. When is the most delightful time in martial arts novels? Isn't it the time when the main character, who has been ignored every day, ends up wielding marvelous martial arts?"
"Yes."
"Then, if the game company, which has only produced unpopular games every time, suddenly comes out with a blockbuster..."
"Ah," Ji-hoon looked at me with his mouth slightly open.
I pointed my finger at the ceiling and said, "At that time, the stock price will show a very dramatic rise."