Breaking Up Is Better Than Divorce

Freescale

“Don’t be too nervous. You will do well.”

Eugene came to the airport together and comforted his younger brother who was waiting for his flight to Germany.

“Honestly, I don’t know if I will do well. It’s an acquisition.”

Yoosung looked quite nervous. Probably because it was his first official job.

Moreover, acquiring a company in an unfamiliar German land will never feel easy.

“Anyway, the acquisition will be conducted by BlackRock’s German subsidiary. You just need to set the acquisition price.”

The acquisition price is not a big problem.

They told me to pay whatever you want, unless the price is too absurd.

“I know. Still, it would be better to buy it at a reasonable price if possible.”

“okay. you know how to do it i go first Come back and see you.”

Eugene moved to catch a flight to Incheon.

Now, I had to go to Korea and meet people who will become the anvil of Daeyang Group’s attack.

On the day I arrived in Korea, I went home and spent time with my parents after a long time.

They both looked pretty good. Thanks to Eugene’s winning of the Mega Millions, I was relieved of a lot of trouble, and above all, the two brothers are doing well, so there is nothing to worry about.

After two days of filial piety, I went to the promised Dasan Electronics headquarters on Friday.

It was also with Kim Cheol-ho, who became the vice president of Dasan Finance.

“Nice to meet you. Kim Soo-ho.”

At a height of over 190, a man boasting a huge size that was not pushed at all compared to Eugene’s bodyguards greeted him with a smile.

“Nice to meet you. Vice President Kim Soo-ho.”

“okay. I’ve always wanted to see your face, but now I can.”

“I am the manager I have always wanted to meet.”

“is it? really! There is also an age difference, so can I speak more comfortably?”

“sure. You are almost like an uncle.”

“a! not my uncle Just join as a brother. okay! Feel free to call me hyung.”

“haha! Then I’ll be rude and take you as my older brother.”

It is not difficult at all to call the vice president of Dasan Electronics, who is ten years older than himself, “brother” to Eugene, who is no less than anyone else in the world based on his social life experience.

“Good. Yes, our Dasan was very helpful with the last China related work. Even though I’m not a Dasan Motors person, I have to say hi. Our president also said that he would like to see you. When will you find a seat? Are you okay?”

“I would be very happy to meet the Chairman of the Dasan Group of Heaven.”

“We’ve cut quite a bit of damage from that, so we should do something for you.”

“Isn’t the Jaemin Ilbo a series of articles about the relationship between Sungjin Precision and Daeyang Heavy Industries?”

Eugene laughed and said.

“He published related articles five times. Thank you for giving me a lot of strength.”

“How many times can you hit the knight? If there is a legal dispute between Seongjin and Daeyang, you are also willing to give a little effort. It’s called Taewon Law Firm. It ranks second in the law firm rankings. They have recently recruited a lot of people from the entire building, so Robbie doesn’t fall behind. I’ll talk to you, so why don’t you leave the work there?”

It’s not just about introducing a law firm.

Taewon is a law firm that has traditionally been in charge of legal disputes with the Dasan Group.

To say that he cares there is nothing less than saying that he wants to be more active in the conflict with the ocean.

“We can handle the lawsuit sufficiently on our side as well.”

But Eugene refused at once.

“But the Dasan group doesn’t seem to care about friction with the ocean.”

Eugene knew that around this time, the relationship between Daeyang Heavy Industries and Dasan Heavy Industries was quite twisted due to a patent dispute.

“When has there been no friction? Heh heh.”

Vice President Kim Soo-ho burst out with a cool laugh.

“Oh yeah! If you would like to help with something, I have one small blue.”

“Tell me. If I can do anything, I will help.”

“Actually, I have an appointment with Freescale management next week.”

“Freescale? You mean Freescale Semiconductor in Texas?”

“Doesn’t it look like a place your brother knows?”

Kim Cheol-ho, who was quietly watching from the side, asked.

“It’s a semiconductor company, so I can’t know. So what’s the deal with the management there?”

“I am thinking of investing in a company because I have spare money, and I heard that Freescale Semiconductor is quite promising.”

“Oh yeah! Come to think of it, how many times has the funds been raised from Yosai derivatives?”

The speed of the rumors was fast. It seems that he had already crossed the Pacific and entered the leadership of a large corporate group called Dasan.

Perhaps it will also prove that Dasan was paying attention to Eugene.

“I tried a little too much because I was a gambler, but I was lucky.”

“I heard that doing it is like gambling. Are you investing in Freescale Semiconductor anyway?”

“Does there have a good view?”

Vice President Kim Cheol-ho intervened again.

He seems to have sensed something in his slightly hardened expression.

“It has nothing to do with Dasan Motors. That’s because he’s holding onto the embedded semiconductor. In fact, it’s also a company that we covet to a certain extent.”

“ah! After all, I’ve heard of it. Perhaps it was a Motorola affiliate and then became independent?”

“uh. But it’s pretty big, isn’t it? Would you like to accept personal investment?”

“Freescale stock is currently being negotiated. I want to take over the stock I own in the Carlyle Group through a block deal.”

“So what’s going on with Freescale’s management? And what else do you want?”

Eugene picked up the main point and listened.

“Freescale’s management is now receiving offers from other semiconductor companies. I want to be a little bit involved in that.”

“Involvement? Hmmm……………………………………………………………………………………………………………………………………………………………………………………………………………………………… So anyway?”

“So I am asking you. I think it would be advantageous for me to negotiate if only one or two Dasan Electronics executives and staff were with me.”

“That’s quite a risk from our side as well. It’s difficult if you get involved in such a thing for nothing, even if the rumor goes wrong.”

Kim Soo-ho implicitly declined the request.

“It would be better if there were false rumors.”

Eugene said with a slightly smirk.

“What do you like?”

“Actually, according to the information I got, the company that is aiming for Freescale is Daeyang Electronics.”

At Eugene’s words, Dasan Electronics’ vice president’s forehead wrinkled.

“Where did you hear that? We haven’t even heard of that.”

“Last time, Dasan Motors secretly negotiated an agreement with Shanghai Bugao Chiche, I understand that it is also in the process of being secretly carried out.”

“What a strange man.”

It was terrifying to know that the Dasan group was aware of an ongoing matter in such a secret that even the Dasan group did not notice.

But to dismiss it as a lie, I couldn’t help but remember what happened in China last time.

“haha. is that so?”

Few people know as much about the work of the Daeyang Group as Eugene does.

And things that haven’t happened yet.

Even because of the battle with Daeyang, Eugene had no choice but to focus on all the businesses of the Daeyang Group affiliates.

“If Daeyang Electronics acquires Freescale…

Vice President Kim Su-ho’s face was hardly straightened.

It was because he knew what Eugene meant.

Considering the dispute between Eugene and the Daeyang Group, it is clear that Eugene is not simply trying to do that for profit.

It intends to sabotage the Freescale acquisition, or at least inflate its costs.

However, Vice President Kim Su-ho’s concerns were not there.

Eugene said a little help, but what he’s asking for is an all-out war with the ocean, not the level of friction he has now.

A question that cannot be answered quickly.

It’s too much of a shame to say no.

If Daeyang, which is competing with Dasan in the automobile and electronics fields, acquires Freescale, it was important what effect it would have on Dasan.

“So, with your information, do you think Daeyang can get Freescale?”

“I know it’s a group effort. Because it’s such a big thing. It seems that the response from Freescale’s side isn’t bad either. That would be the price.”

In May of the following year, Daeyang acquired Freescale and merged it with Daeyang Electronics.

And Daeyang’s gains from the acquisition of Freescale Semiconductor were enormous.

Daeyang Electronics, which ranks third in the Korean semiconductor industry after Jeil and Dasan, was thirsty to advance into new business fields due to the bulk offensive of Jeil and Dasan.

Although it is ranked 3rd in Korea, there is a long gap with Jeil and Dasan, who are ranked 1st and 2nd in the memory semiconductor field.

In terms of semiconductor sales, it is out of the top 10 in the world.

At this rate, the semiconductor division of Daeyang Electronics was doomed to follow the same path as the Japanese semiconductor companies, who had to give up their business after being caught up in the chicken game between the two giant semiconductor companies.

For that reason, Daeyang tried to break through the path by acquiring Freescale, which has a leading technology in system semiconductors.

Moreover, it was clear that if Freescale, which has an absolute position in the semiconductor field used in automobiles, acquired Freescale, it would be a great help to Daeyang Motors, which is competing with Dasan Motors.

But far more important than that industrial aspect is finance.

Daeyang Electronics and Daeyang Motors are secretly taking over Freescale for the purpose of dramatically boosting stock prices.

It is clear that the news of a huge merger and acquisition, ranging from $10 billion to $15 billion, will affect the stock prices of not only Daeyang Electronics and Daeyang Motors, but also all affiliates of the Daeyang Group.

Of course, the stock price rises again after a certain amount of time passes, but if you know the system, you can make a huge profit by using this difference.

Eugene was calculating that the clan of the head of the Daeyang Group would be able to raise a slush fund beyond imagination.

Eugene could not tolerate that.

“Give me time to think.”

Vice President Kim Soo-ho, who had been looking at Eugene for a while, opened his mouth.

I couldn’t make such a big decision all at once.

“Sure. Even if you refuse, I will not feel sad. I know I’m asking too much.”

“right. That’s an unreasonable request. huh.”

Kim Soo-ho smiled again.

“Still, it’s an interesting request. What should I do?”

Kim Soo-ho was staring intently into Eugene’s eyes as if trying to pierce his heart.

“Of course I am waiting for a positive reply.”

Eugene also looked at him and answered with a smile.

This is because he knows that Dasan will not be able to easily reject his offer.

* * *

That weekend, at the old house of the founder of the Dasan Group, located at the foot of Mt. Bukak, the family of the chairman of the Dasan Group gathered to have a dinner and discuss the group’s important issues.

All the important events of the fertility group are decided here.

Chairman Kim Seong-hoon, who has now stepped down from the front line of management, entrusted the management of the group’s major affiliates to his sons, and when there was a serious matter, he would gather here to gather the brothers and sisters.

It was the same on this day.

A small piece of information that Eugene brought in was causing a huge repercussion that brought the Dasan group leaders together.

“The cost of acquiring Freescale Semiconductor is likely to be around $11 billion. If you take on $4 billion in debt, that would be a big deal for $15 billion.”

The second son, Su-ho Kim, who is in charge of the vice president of Dasan Electronics, drew out an estimate from the planning office of Dasan Electronics based on the information he had heard from Eugene.

“What are your financing plans?”

Chairman Kim asks.

“About 2 trillion won of Dasan Motor’s 9 trillion won in-house reserve can be diverted. In addition, each affiliate must again finance about 3 trillion won, and the rest through financing. To be honest, it is difficult to carry out such a large-scale business now due to the problem of payment for the site in Yeoksam-dong, which I purchased last year.”

The third Kim Cheol-ho, who was newly in charge of the finance department, answered.

“Is there any benefit in taking over?”

This time, I asked the second in charge of the former.

“Actually, it is difficult to say that Freescale and our semiconductor division have different business areas and strategies, so it is difficult to say that there is a great synergy. However, considering the growing size of semiconductor companies, I think it is a worthwhile investment in terms of strengthening future competitiveness. In fact, we always have in mind the acquisition of overseas semiconductor companies. Ultimately, it’s a money issue. But in the case of cars, the story will be very different.”

“Is it profitable for the former? a car?”

Chairman Kim asked, looking at the first this time.

“Even now, more than half of the semiconductors used by our company are supplied by Freescale. In particular, the core semiconductor is almost absolute. It can be said that there is no substitute for Freescale in embedded system semiconductors. And if we consider autonomous driving, fuel efficiency enhancement, and smart cars, it is clear that our dependence on Freescale will grow. Of course, there is no need to take over from Dasan, but to be honest, it is quite difficult to take over from Daeyang.”

“That’s right…….”

Chairman Kim nodded.

“Even if the supply of semiconductors is interrupted for just one month, it will cause a huge blow. If we maliciously delay supply after the acquisition of Freescale in Daeyang, we can only say that it is a disaster.”

“Then we can’t let the ocean take over Freescale.”

“At least until an alternative is available. It’s really difficult for Freescale to get into the hands of the ocean. The reason we are still avoiding supply from Renesas is that Toyota is the major shareholder of Renesas. The ocean is worse than Toyota.”

First, he repeatedly emphasized that it was difficult, as if he was having a headache just thinking about it.

“An alternative?”

“There are NXP and Infineon, but it is also a matter of whether the acquisition will be successful or not. As another alternative, Dasan Electronics can develop it on its own.”

“Is it possible?”

“The direction is so different that it will take at least 10 years to develop the technology to replace Freescale and expand the line.”

Again, Kim Soo-ho answered.

“Then what can we do?”

The president asks the first.

“It also prevents Daeyang from taking over Freescale.”

The first son said with a slight smile.

“okay. That’s it. If we can’t eat it, we have to make sure no one else can eat it.”

Dasan Group chairman nodded with satisfaction and said.

“I feel like I’m being dragged by that little guy for nothing.”

Then, the fourth, who had been listening all this time, spoke.

“Isn’t that what he wants to wage an all-out war with us and Daeyang?”

“I will. Otherwise, there is no reason to come and talk to me like that.”

Kim Soo-ho answered.

“So you think it’s better not to get involved?”

Chairman Kim again asked the fourth.

“Honestly, it feels like I’m being swayed by a mess with no roots going around.”

“You don’t seem to like him?”

“It’s true that last time it was quite helpful, but it seems like you are doing something too much with that as an excuse, so the rating has gone down a bit.”

“How are you? I like it.”

Kim Soo-ho came forward and said.

“Why don’t you get swayed by that friend’s mess? If you make a fuss like that, you’ll get in trouble. It’s the ocean. Isn’t it enough if we just adjust the beats in moderation and bring rice cakes? Isn’t it a situation where a bear plays the trick, and there is no one who makes a profit? Heh heh.”

The bear-like man laughed slyly.