A Genius Investor Who Picks Up Conglomerates

Chapter 19: Burning That Much Money for a Single Meal?

 

Buksan Group.

A colossal enterprise ranked 5th in the business world, it’s undoubtedly one of the most influential corporations in South Korea.

Its founder, Lee Gi-baek, began by making and selling cosmetics under the name ‘Gi-baek Store,’ later he established ‘Buksan Beer’ and renaming ‘Gi-baek Store’ to ‘Buksan Trading Company,’ which marked the foundation of present-day Buksan Group.

However, a major crisis hit BukSan, which seemed to be on a path of continuous growth.

Lee Gi-baek, who was rapidly expanding the company, suddenly passed away due to illness leaving no will behind.

This led to his eldest son, Lee Seung-hwan, who was only in his twenties at the time, inheriting the mantle of Buksan leadership.

Despite his young age for such a position, Chairman Lee Seung-hwan quickly stabilized the company with his unique charisma and determination.

In fact, it was Chairman Lee Seung-hwan’s successive mergers and acquisitions (M&A) that transformed Buk-san into the company it is today.

Even during the oil shock crippling South Korea, the pull of major M&As that experts estimated had less than a 20% chance of success, making Buksan play a pivotal role as an export powerhouse.

Subsequently, Chairman Lee Seung-hwan acquired a long-standing loss-making corporation ‘Hwacheon Life’ that everyone had abandoned, and transformed it into Buksan Life, nurturing it into a thriving insurance company with assets of 129 trillion won.

Furthermore, he strategically acquired numerous hidden gem companies that could create synergy with Buksan’s subsidiaries. As a result, after 30 years, Buksan has grown into a giant with total assets of 220 trillion won and annual sales of 80.5 trillion won.

Unlike other second-generation chaebols heirs who squandered their legacies due to mismanagement, Chairman Lee Seung-hwan’s leadership prowess was proven as he took over as the head of the company before even reaching thirty and grew Buksan into one of Korea’s top 10 conglomerates.

This demonstrated his belief in himself, his steadfast determination, and his fiery charisma that left even the highest executives at his command without a word.

Valuing loyalty, he generously provided for his employees’ treatment and benefits. As a result, Buksan Group was renowned for its exceptionally low employee turnover rate.

 

***

 

Buksan Group Chairman’s Office. 

A conglomerate chairman’s office is typically shrouded in mystery. 

As a result, few people other than secretarial staff or senior executives know its layout. 

Chairman Lee Seung-hwan’s office was relatively modest, furnished only with an antique wooden desk, a bookshelf, and a leather sofa. 

One would hardly guess it was the office of the chairman of a prominent conglomerate, save for the nameplate on the desk.

Knock, knock, knock. 

“Chairman, it’s Chief Secretary Lee Bong-gu.” 

“Come in.” 

A sturdy middle-aged man with a short stature bowed to Chairman Lee Seung-hwan, who was reviewing some documents. 

“Yes, Secretary Lee. What’s bringing you here?” 

“I’m here to report on the chairman’s dinner auction, which we’re holding in commemoration of our 70th anniversary, as you mentioned earlier.” 

Adjusting his small glasses perched on his nose, Chairman Lee Seung-hwan scratched his chin and then chuckled. 

“Ah, I had forgotten about that. Right, right, there was something like that. Oh well, how bothersome. Come, have a seat.” 

Rising from his chair, Chairman Lee Seung-hwan moved to the leather sofa positioned at the center of the room.

Sitting opposite him, Chief Secretary Lee Bong-gu handed a document over to Chairman Lee. 

“I must be getting old. Even a little movement makes my bones ache. It must be time for me to step down.” 

“What do you mean, Chairman-nim? You’re still as vigorous as any young man.” 

“Heh heh heh. People never change, do they? You’ve always been good at flattery, even after all these years. How long have we been working together?” 

“Exactly 42 years, Chairman-nim.”

“Chuckle chuckle. Heh heh. Well, I suppose. I’ve seen you longer than I have my wife. Don’t you get tired of me?”

”Please don’t say such things. I swore to serve you for the rest of my life, Chairman-nim.”

Chairman Lee Seung-hwan chuckled, his tongue clicking against his teeth as he watched the unchanging expression of Chief Secretary Lee Bong-gu despite the slightly teasing mark.

“Aish… you’re no fun. So? How many of those crazy fools bid for a chance to have a meal with me?”

“Please don’t say that, Chairman-nim. At one point, the server crashed due to the overwhelming number of people. The IT team had a rough time.”

“Ha ha ha. Look at all these bored rich people with their money to burn!.”

“Doesn’t that mean the public’s interest and respect for you are immense, Chairman-nim?”

“Oh, please. Interest and respect? They’re just like flies buzzing around, hoping to snag a free meal. Without even seeing them, I can tell. They’ll either try to talk about some rotten deal during the meal or dig for information that could affect stock prices. Hmm… I bet it’s full of money-grubbing speculators and sleazy company presidents.”

Chief Secretary Lee Bong-gu let out a small sigh of admiration at Chairman Lee Seung-hwan’s words.

“Your insight remains as sharp as ever. Most of the participants were indeed from the financial industry or small business owners.”

“Heh heh heh. They must have underestimated the great Lee Seung-hwan. So, how much was the winning bid?”

“One hundred million won.”

“Burning a hundred million won just for a meal? That person must be completely insane. They’ve essentially burned a hundred million won for nothing just for me to sit there without saying a word.”

“That would be the case.”

“So, who is this lunatic? What does he do? an analyst? A fund manager? Or is it someone from an AI company that’s been showing interest in Buksan lately?”

“Um… well…”

For a moment, Chief Secretary Lee Bong-gu’s usually expressionless face showed a hint of awkwardness.

“He’s just… a student.”

“What? A student?”

The chairman Lee Seung-hwan’s long, snow-white eyebrows arched upwards.

“They say he’s a student at Hanyeong University.”

“Huh… Are you sure?”

“I’m sure. I confirmed it through the admissions office.”

“Tsk tsk tsk. Must be one of those born with a silver spoon in their mouth.”

“Actually… that’s not the case. I had the information team check him out thoroughly, and it turns out he’s from a nursery.”

“A nursery? So, he doesn’t have any parents?”

“Yes, that’s right.”

“Then that makes even less sense! How could an ordinary college student who grew up in a nursery have enough money to burn 100 million won?”

“I don’t know about that, but… there was one peculiarity.”

“Peculiarity?”

“As soon as he became an adult, he took out a loan. There’s also a record of him working on an ocean fishing ship.”

As Chief Secretary Lee Bong-gu continued speaking, Chairman Lee Seung-hwan, who had been leaning back on the sofa, began to lean forward more and more.

“Go on.”

“So, he came back to Korea after four years at sea, but his subsequent activities are very suspicious. That’s why… I’m having trouble deciding whether or not to cut him off, so I’m reporting this to you, Chairman-nim.”

Chairman Lee Seung-hwan’s keen eyes sparkled with curiosity.

“What was so suspicious?”

“It’s certain that he was on an ocean fishing ship. There’s a record of it. The problem is that after he got off the ship and came back to Korea, he bought a luxury officetel worth around 2 billion won. Then, out of the blue, he transferred to Hanyeong University and recently won the auction to have a meal with you, Chairman. His actions make no sense at all.”

“Hahahahahaha. That kid’s a real masterpiece. Did he find a treasure ship or something while he was out at sea?”

“We couldn’t find out about that, but what’s for sure is that it’s absolutely impossible to do what he did with just the salary he would have earned on the ship.”

“So, there must be something going on with that kid, after all.”

Tap, tap, tap.

Chairman Lee Seung-hwan, resting his chin on his hand, tapped the table with his other hand. 

It was his habit whenever he was deep in thought.

“Shall we just cut him off and proceed with the second-highest bidder?”

“Oh, come on, what are you talking about? An auction must be fair. There’s clearly someone who won the bid fairly.”

“Are you sure about that, Chairman-nim? I’m concerned that he might be approaching you with ill intentions.”

“Hehehe. Ill intentions, you say… Well, I don’t think so. It’s quite intriguing. I thought I’d experienced everything while building Buksan up to this point, but this is a fresh shock in a new way. An ordinary university student spent 100 million won just to have a meal with me… Hmm.”

After pondering for a moment, Chairman Lee Seung-hwan spoke in a firm tone.

“Let’s go with him. I’ll know what kind of person he is when I meet him. Hehehe. Even if he’s hiding some dark intentions, do you think he can fool me, Chief Lee?”

“Of course not. It’s impossible.”

Looking back over the past 30 years, it had indeed been a rollercoaster ride. 

From those who talked about tax savings but suggested tax evasion, to politicians who were no better than robbers, and swindlers trying to manipulate stock prices.

There were many who had meticulously prepared their schemes, enough to deceive even the most vigilant, but they all met a miserable end under Chairman Lee Seung-hwan’s sharp insight. Chief Secretary Lee Bong-gu had witnessed this up close.

“Anyway, proceed with the meal as planned.”

“Yes, understood.”

Chief Secretary Lee Bong-gu, who had been standing up, bowed and left the office.

Left alone, Chairman Lee Seung-hwan lit a cigarette and burst into hearty laughter.

“Hahaha. I’ve finally got something fun to do in my old age.”

Thus, Chairman Lee Seung-hwan spent a long time reading the report about Dae-woon while seated on the sofa in his office.

 

***

 

There’s no question that Baekje Hotel is the top dog in South Korea. Its reputation and brand name are so crushing, it puts all the other hotels to shame. 

But even Baekje owes some of its fame to its Korean restaurant, ‘Mir.’

The restaurant ‘Mir’, which served Korean cuisine, played a significant role in the hotel’s fame. After benchmarking top restaurants in New York, Hong Kong, and Japan, Mir established itself as a Michelin 3-star Korean fine-dining restaurant, solidifying its position as one of the most upscale Korean restaurants in South Korea.

Mir, located on the 25th floor of Baekje Hotel with a stunning view, offered a panoramic view of Mount Namsan. Among the tables, the VIP room, which was notoriously difficult to reserve, was bustling with staff activity since the morning.

“Today, there can’t be any mistakes! Double-check the ingredients, and servers, review your routes once more.” 

“Yes, Chef!”

The staff responded in unison and moved in a flurry to the head chef Yang Seong-il’s shout.

The reason for such a heightened atmosphere was that Chairman Lee Seung-hwan of Buksan Group had a reservation today. 

Chairman Lee Seung-hwan’s reputation in the hospitality industry was well-known. No matter how prestigious a high-end restaurant was, he would not hesitate to deliver harsh criticism if the taste and service didn’t meet his standards. On the contrary, if he was pleased with the service and taste of food that day, he would generously tip the entire staff, enough to make their jaw drop.

Chairman Lee Seung-hwan’s fiery and unpredictable nature, which alternated between hot and cold, meant that the entire staff was jittery on days he visited, and the head chef became especially vigilant.

As time passed and the appointed time approached, Chairman Lee Seung-hwan, accompanied by his entourage, entered the restaurant.

“Good afternoon, Chairman-nim! It’s been a while.”

“Oh! Who do we have here? Chef Yang, isn’t it? Hehehe. You still have that energetic look.”

“Cooking is my calling, Chairman-nim. I must give it my all.”

“As expected of Chef Yang. Of course. If you’ve chosen this as your life’s work, you should approach it with that kind of determination. These days, youngsters lack the same drive as you have, Chef Yang. Tsk tsk.”

“Thank you for your kind words, Chairman-nim. Please, let me show you to your seat.”

As they entered the VIP room, a picturesque panoramic view of Namsan Mountain unfolded like a landscape painting. 

Seating down, Chairman Lee Seung-hwan looked at Chief Secretary Lee Bong-gu and asked,

“When is he supposed to be here?”

“He should be here any moment now.”

“Hahaha. He’s quite bold, making the great Lee Seung-hwan wait.”

Creak

A soon as he finished his sentence, the elegant sliding door, styled like a traditional Korean hanok, opened. A young man in jeans and a checkered shirt, carrying a backpack, hurried walking inside.

“Huff huff. I’m sorry I’m late. Ah, my professor suddenly gave us a pop quiz, so…”

Chairman Lee Seung-hwan and his entire entourage stared at the young man with a dumbfounded expression.