Dear Comrade Leader Episode 134
To Jeonghwan’s first greeting in English, the old man got up from his seat and shook hands with him softly in response.
“I really appreciate the hospitality, Secretary General. Here, President Choi Seung-il takes responsibility and guides me here and there and introduces me to how this North Korea is changing rapidly. Is it true that you left a stock chart in the clerk’s office?”
Quietly examining the atmosphere, he continued the story again.
“Already, western tabloids have been arguing that North Korea has really changed based on that fact.”
“After the discussion, I will show you. I don’t know if President Choi has already said that a stock exchange will be opened in Pyongyang soon.”
The customer waiting for Jung-hwan that day was George Soros, the mythical fund manager and owner of Quantum Group of Funds.
I had held hands for a while when attacking the Japanese stock market through Choi Seung-il the other day, but this was the first time I met face-to-face in person.
Junghwan also looked carefully up and down the legendary investor he had only met over the phone.
‘For the nickname of the Widowmaker, you look like a college professor, but if you weren’t a fund manager, you were going to be a philosopher, didn’t you? During the Asian financial crisis and Korea’s IMF, this yangban was on one leg, and I’m already curious how he’ll get out of here.’
After the ceremonial welcome, they sat around the table and went straight to the main topic.
Of course, the ‘main point’ here meant exploration rather than bringing out each person’s true intentions right away.
“Are hedge funds doing well these days? No, I asked a pointless question, as I have heard and know that the reputation is spreading all the way here.”
“It’s fame… … Frankly, you’re more likely to have heard of notoriety than fame, but anyway, with the Chinese economy recovering, the fund management is doing well. Opening new markets is always a great opportunity. And because of the decision of the General Secretary, I am happy that this North Korea also joined the global capital market.”
Hearing Soros’s low voice, who speaks softly but clearly, Junghwan thought that he was also a shrewd human being, and decided to attack first.
A useless deception wouldn’t work.
“Not long ago, in the UK, you had a big drink with pounds. I should have heard Mrs. Thatcher gossip.”
“I and my colleagues just made a rational investment decision. The UK economy has already been exposed to a number of weaknesses, and anyone, if not me, would have made a similar decision. I tried my best to explain this point, but what about those who don’t understand… … It’s just sad.”
Jeonghwan first mentioned the short selling of the British pound a few months ago and threw the bait, but Soros shook his head with an unshaken expression.
Rather, he counterattacked, looking at Jung-hwan and Choi Seung-il alternately, glancing at the eyes that were embedded in the wrinkles.
“I think that Peony Holdings of the General Secretary and Choi will become more famous sooner than I do. Recently, Peony Holdings has been on the rise in the international stock market.”
Slowly, he gave strength to the general secretary and continued.
“Especially in the case of General Secretary-nim himself, according to what my friends have said here and there, it is assumed that he had prepared a lot years before the collapse of the Japanese bubble economy… … The last thing you did with me was the blood of new feet. If the general secretary chose the path of an investor rather than a politician… … .”
“Blood on new feet is an overstatement. And the proceeds from that were not used for my own personal wealth, but to build the national wealth that will build this Democratic People’s Republic of Korea.”
“Yes, I heard that you are emerging as a big player in the international M&A market these days. Besides what I know, you are buying shares in many companies here and there… … I heard that oil has also started production and export in earnest not long ago, but soon it will become Singapore or the United Arab Emirates in Asia. Congratulations in advance. By the way… … .”
There was no change in Soros’ tone or height, but Choi Seung-il’s eyebrows, who had been sitting next to Jeong-hwan without saying a word, rose slightly.
It was because he realized that he was about to finish the search and tell the truth.
“… … It seems that the general secretary, who is the leader of North Korea, which is being reborn as such an inconspicuous developed country, did not call me here because of a request for investment in his own country, can you understand the reason?”
“You see, I said Mr. Soros’ fame, or notoriety, right? Anyway, I want to borrow that notoriety.”
Junghwan nodded his head as if he had no intention of hiding it.
In the first place, he was calling Soros to make a mutually beneficial deal, not a favor.
“You mentioned Saudi Arabia, of course it is a wealthy country, but as a leader, my goal is not to let the whole nation depend on oil money to live a full life, relying on the labor force of foreign workers without a single domestic industry. Such a development model is not sustainable either. So we need manufacturing.”
“Hmm, you can’t grow such a company in one single stone, even in this North Korea… … Are you thinking of a merger or acquisition? But I still don’t know. If the size of Peony Holdings’ assets is the size of its assets, it would be possible to secure a sufficient stake and take over the management without having to borrow a hand from me… … .”
“Of course it is. However, it is difficult to find a stupid government that will simply hand over the technologically advanced companies that are the backbone of the country to foreign capital. In particular, the country of which the company I am targeting has an almost pathological fear of foreign capital.”
Having said that, Soros nodded as if he understood.
“Okay, are you in Japan again?”
“That’s right. The detailed explanation will be given by CEO Choi here.”
With those words, Choi Seung-il got up from his seat and took out a thick file folder and unfolded it on the desk.
As he pointed here and there, a light flashed once more in Soros’s eyes.
“We, Peony Holdings, are a company that aims to bring management rights.”
“… … Hmm, the Japanese never seem to want to hand it over. As far as I know, Japan doesn’t have a poison pill system yet, so I’ve heard that it is vulnerable to attacks by foreign funds. Besides, right after the bubble burst.”
After clearing his throat for a moment, he continued.
“But still, the officials of the Ministry of Finance in Japan, a country of close economic and economic ties, will not just watch their worthwhile companies being taken over by North Korea, which was a hostile country until recently… … .”
Soros, who had been muttering up to that point, nodded his head as if he knew roughly how things were going, and then threw out a word.
“Do you have any collaborators or agents in Japan that you would like to present as your face? So what am I supposed to do as a windman?”
“Hmm, I was trying to be more polite with that, but you are right. Soros Dong… … No, Mr. Soros.”
Choi Seung-il coughed as if embarrassed by Soros’s naked expression.
It was hard to say that he was trying to use an internationally renowned investor like Soros as a mere catchphrase, but it was a little harsh no matter how much he said it first.
However, Soros, who was the real party, and Jeonghwan didn’t seem to care at all.
On the contrary, Junghwan even explained why he asked Soros for cooperation by saying things that he did not know whether it was a compliment or a bad word.
“I want you to understand that this is the best time and that you are the right person. Your notoriety as a corporate hunter and ruthless hedge fund manager is simply the best in the world because of the short pound. Still, it’s perfectly suited to scare the paranoid Japanese about when Western white capitalists will usurp their proud Made in Japan technology.”
“Ha ha ha ha ha! I’m so relieved that you’re saying this out loud. May I ask why you want to buy this company?”
“Isn’t it obvious, it’s for the future industry of this country. This company is extremely closed, so just buying it will get in the way from everywhere.”
‘Of course, in addition to the economic aspect, but also for security, to be precise, for the next-generation fighter.’
Recalling the requirements Antonov suggested, Jeonghwan muttered to himself.
If this company’s technological prowess can be brought to North Korea, it will be able to meet the 20-year condition suggested by Antonov.
“haha… … The people of this country, North Korea, seem to have met a truly capable leader. I am an American from the Eastern Bloc, and if there was a leader like the general secretary in my hometown of Hungary, I would not have gone to study in the UK. So what do I get as a windman?”
“I heard that you are interested in investing in raw materials, including mines these days.”
When Jeonghwan said the condition, Soros thought for a moment, then nodded his head.
“It’s a decent reward for just popping a smoke screen and doing a job that scares you. Okay, I accept it. Until the white knight over there appears, I will play the role of the black knight.”
“I’m not afraid, can you please call me Seongdong-gye-seo? The sound will come from you, the east, and the attack will be from the west.”
The two finally reached an agreement and held each other’s hands and shook hands.
And a week after this secret agreement was reached in Pyongyang, North Korea, Soros boarded a plane bound for Japan.
* * *
In mid-1993, Tokyo was in a gloomy mood.
There were still some aftershocks of the bursting of the bubble in society, but precisely because the aftermath had now spread through the real estate market to the banks that supplied the real estate market, and even the banks were falling day by day.
In addition, as it was revealed that various civil engineering projects put forward as economic stimulus measures by cabinet politicians, who do not know whether they still accurately grasp the situation or whether they are knowingly pretending not to know, have only short-term effects, not fundamental measures, casting the shadow of a long-term recession across Japan. there was.
However, even in the midst of this, Japanese companies with technological prowess were still holding on.
Although banks stumbled together when they stumbled, companies with cheap and high-quality products made with Japanese craftsmanship were still firmly supporting the Japanese economy, as if proving the saying ‘even if it rots junchi’.
These companies that have written the Made in Japan myth, representing the electronics industry, dominate many manufacturing fields such as automobiles, chemicals, materials, etc., were the pride of the Japanese.
But now, that pride is starting to face the biggest threat at an international finance-related seminar in Tokyo.
“Gee, so now, Mr. Soros, did you declare that you would take over a stake in Fujitsu and participate in the management? From Mr. Soros’ Quantum Fund?”
“That’s right.”
“Hey, what’s the reason? In the meantime, I’ve heard that Mr. Soros builds his portfolio with high-risk, high-return derivatives or currency investments rather than manufacturing stocks with low dividend yields… … .”
Just like the last short selling of the British pound, a reporter who attended the seminar omitted the details, but added a kind explanation as he knew what Soros was thinking.
“That’s why. I’ve always thought that Japanese companies are very irrational and anti-shareholder. Fujitsu and Fuji Telecom Manufacturing Co., Ltd. are representatives of these Japanese companies.”
“How do you plan to improve specifically?”
“Fujitsu has a majority stake in Japanese banks, but has rarely paid dividends to minority shareholders, Japanese citizens and foreigners. First of all, we will start with realizing dividends from internal reserves, liquidation of business fields that have grown unnecessarily during the bubble and are not generating profits, and liquidation and separation of affiliates.”
“… … Some say that Mr. Soros is partnering with foreign companies to attack the Japanese industry that is faltering after the bubble burst. Can you explain in more detail about the liquidation of that affiliate and the subject?”
This time, from the corner of the seminar, voices, clearly dissatisfied and terrified, erupted.
Soros replied briefly, with a sullen grin at the voice that was faint, but recognizable by everyone in the seminar.
“I am just committed to rational investment and fund management. Please refrain from spreading malicious rumors.”
Rumors, of course, were not suppressed.
The Japanese people suffered from a sense of victimization after the bubble burst, although it is not known that the infamous white investor nicknamed the hedge fund manager or widowmaker for attacking the pound and kneeling the British government made Japanese companies their next prey. It was enough to stimulate their emotions.
Soon, a weekly magazine featuring Soros’s face with a sly smile like a demon king began to circulate throughout Japan with a sensational title.
-Wall Street monster, targeting Japan, is there behind the huge US financial capital that crashed Japan?
-George Soros, a hedge fund monster, declares that he will take over Fujitsu’s stake, and America’s conspiracy to make ‘Made in Japan’ a complete doge!
– Japan, a technologically advanced country, will collapse like this? An executive at Fujitsu’s holding company Fuji Electric, who requested anonymity, said, ‘I don’t have any spare funds right now, so if foreign capital attacks like this, it’s like our hands are tied… … .’