Genius Grandson of the Loan Shark King

I was just lucky

When Murdoch entered the United States, the first thing he met was Han Kyung-young.

"James. Long time no see."

"It's been a while, Chairman Murdoch."

Han Kyung-young exchanged a brief greeting with Murdoch and guided him to his office.

There were piles of various documents scattered on the table.

The messy, cluttered documents were all related to Dow Johnson.

The two people sitting across from each other got straight to the point.

"Dow Johnson's finances are worse than I thought. In the past, major shareholders injected money, but it seems that they do not have the capacity to do so due to failed investments."

"If it weren't for that, you wouldn't have even negotiated with me. Right?"

Han Kyung-young nodded in response to Murdoch's question.

"It's true. It's a company that has been run by one family for a hundred years. If it weren't for these special circumstances, we wouldn't have sold it, especially to Murdoch."

"Haha, James, you're just like Charlie. Saying things like that to people's faces."

Far from showing any sign of displeasure, Murdoch laughed heartily.

Han Kyung-young, who followed Murdoch's lead and smiled slightly, opened his mouth.

"I'm not ignoring Chairman Murdoch. He controls the media, so in a way, it's right to be afraid. But when journalists talk about Chairman Murdoch, don't they acknowledge him as a fellow journalist?"

"That's true. I'm a businessman who does business to make money, so I don't think that's true. But that doesn't mean I'm going to turn the Wall Street Journal into something like the other media companies I've acquired."

"Well, that's good. I've been here a long time, so I know now that undermining the influence of the Wall Street Journal is not a good long-term move. By the way, the stock is currently trading at around $25 to $26. Would you be okay with me buying it for $60 a share?"

Murdoch shrugged and nodded.

"They've already offered $50 a week. That's about $5 billion. It's about $1 billion more than expected, but it's not an unaffordable amount. This isn't a company that can be acquired just because you have money."

"That's true. But, I don't think anyone can throw in as much money as Chairman Murdoch to buy the company. And don't you plan on investing more after the acquisition?"

"That's right. We can't just let the Wall Street Journal disappear into the back alleys of history. There hasn't been any investment for years."

Han Kyung-young and Murdoch reviewed the plan and exchanged many opinions.

After a long conversation, the story finally came to a conclusion.

Han Kyung-young, who was organizing the scattered documents, said to Murdoch.

"I will lead the negotiations. Mr. Chairman, please just nod your head with weight. Don't step forward unnecessarily."

Murdoch responded to Han Kyung-young's words with his usual hearty laugh.

"I see. I trust you."

* * *

Han Kyung-young headed to the meeting place with Murdoch, accompanied by his lawyer.

There were already many people waiting at the Bancroft family mansion.

"This is James from Dream High Investments. It is an honor to be visiting the Bancroft family mansion."

John Bancroft, the head of the Bancroft family, shook hands with Han Kyung-young and spoke to him as a representative.

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"Oh, James. I've heard a lot about you. You're called the Devil of Wall Street."

It seemed as if he was trying to seize the initiative from the start, and there were sharp words mixed in behind his good-natured smile.

Since it was past the time to be excited or sad about such things, Han Kyung-young answered nonchalantly.

"Haha. That's an exaggerated title. I was just lucky."

"Isn't luck also a skill? Just sit down for now."

Murdoch and Han Kyung-young sat down in their prepared seats. Han Kyung-young looked around and said.

"Have you considered Chairman Murdoch's proposal?"

"Yes, but the board of directors' opinion is that it cannot be sold."

"It can't be sold…. May I ask why? Why did you refuse even though I offered you twice the current stock price?"

"It's because of Chairman Murdoch's owner risk."

John said, looking at Murdoch sitting next to Han Kyung-young.

Han Kyung-young listened to his story and looked at the members of the Bancroft family.

There were two main ways to look at Murdoch.

The older generation looked at Murdoch with contempt, while the younger members seemed indifferent.

"Chairman Murdoch is the one who created one of the most prestigious media empires in the United States. He is capable. Can we really call that owner risk?"

"I also acknowledge that part. However, there are some parts that do not fit with our philosophy. Our family has led Dow Johnson for over 100 years and has never exercised editorial control over the Wall Street Journal. That is our family's sacred legacy and the reason why the Wall Street Journal has been considered the best newspaper for 100 years."

"I know that too. But times have changed. Without investment, the glory will eventually fade."

Han Kyung-young placed his briefcase on the table and took out a bundle of documents from inside.

"Dow Johnson's business continues to fail. Its earnings this quarter were down more than 80% year-over-year. Of course, business has its ups and downs. I know that. But more importantly, they're investing next to nothing in the Wall Street Journal. Their rival, the New York Times, is trying to change that by continuing to invest."

"Ugh······."

The board of directors did not hide their discomfort at Han Kyung-young's direct attack and showed it as it was.

But Han Kyung-young continued speaking without stopping.

"The Wall Street Journal, which is currently in serious deficit, has been able to maintain its journalism thanks to the support of its parent company, Dow Johnson. However, I think that has now reached its limit. The reality is that if you don't change, you will be eliminated. Isn't that why you are meeting us now?"

Han Kyung-young's words, which only pointed out the facts, were so plain that they hurt even more.

"I recognize the achievements of the Bancroft family, who have led the company for over 100 years, but if things continue this way, that history will be forgotten."

"that······."

"Sixty dollars a week. No investor will offer that."

Han Kyung-young offered better terms than Murdoch had offered.

The board's eyes changed. It couldn't have been otherwise, since it had gone up $10 a share with just one bounce.

John, sensing that the atmosphere was flowing strangely, spoke urgently.

"The acquisition amount is not the issue."

"Are you talking about editorial independence?"

"Yes. Does James know the Sunday Times?"

"Yes, I know. It's the British newspaper owned by Murdoch."

As Han Kyung-young nodded, John continued speaking in a slightly agitated voice.

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"The Sunday Times was one of the most influential newspapers in Britain before Murdoch took over. But under Murdoch's thumb, they changed their editor. Since then, the Sunday Times has been filled with royal stories, celebrity rumors, lottery tickets, travel guides, and crappy, uncertain facts. The Sunday Times, which was once a leader in great journalism, has become a mediocre yellow press. So shouldn't we be worried?"

A barrage of harsh criticism poured in. Han Kyung-young glanced at Murdoch.

But Murdoch was smiling with his arms crossed and his face indifferent.

"Change is good, but the journalism of our newspapers, including the Washington Post, is more important. First, editorial independence must be guaranteed. Then we can talk about the acquisition price."

At that moment, Murdoch opened his mouth and uncrossed his arms.

"Can editorial independence protect journalism? I know the value of the Wall Street Journal better than anyone else. But don't you know how the direction of the article can change depending on the editors? If the major shareholder can't even 'suggest' the replacement of the editor, what's the point?"

Murdoch's words were reasonable and logical. Han Kyung-young, who was trying to stop him, lowered his hand slightly.

"I respect the freedom of editorial authority. However, freedom comes with responsibility. If editorial authority is not subject to the influence of major shareholders... won't that also become an unchecked power? Won't factions try to seize power?"

"······."

"As far as I know, the current board of directors has been replacing editors through a resolution. But if you are making such an absurd request to me, it must be because I am an untrustworthy person. I know that very well."

John couldn't bring himself to respond to Murdoch's calm words.

"But I'm a businessman. I have no reason to lower the value of the Wall Street Journal, which I bought at a premium. I'm not that stupid. If I were stupid, I wouldn't have been so successful in America."

Murdoch spoke confidently. No one dared to refute him and just looked the other way.

Murdoch looked around at the Bancroft family and smiled with one corner of his mouth raised.

"As you know, everyone here ultimately failed. But I continued to succeed. Recognize the difference."

"What, what did you say!"

Although the older members rolled their eyes, Murdoch remained relaxed.

"Sixty dollars a week. And I will guarantee the employment of the current editors and reporters, and I will establish an editorial board to guarantee editorial freedom. However, let's have half of the members of the editorial board be selected by the board of directors, and the other half by the reporters' recommendations. Don't we need a means of checking each other? That's how we can protect journalism. That's all I can offer. If you ask for more, I will walk away cleanly."

Murdoch, who had issued an ultimatum, raised both hands in an exaggerated manner and then folded his arms again.

Contrary to his playful attitude, his eyes were extremely cold.

"Just know this one thing. The moment I leave this place, I'm going to have a press conference with the reporters. I, Rufus Murdoch, am thinking of buying Dow Johnson."

"Listen. That's not polite when negotiating······."

"Don't you know that rumors have already spread all over Wall Street? The stock that used to be worth $25 is now at $30. That's why I'm offering a 100% premium. Oh, don't tell me I started the rumor. What good is it to increase the number of competitors? If you get greedy, I'll throw in the towel. I don't know who you trust to be so bold. Warren Buffett? Do you think that money grubber would offer a higher amount than me?"

As Murdoch said, rumors like this were already circulating on Wall Street before Han Kyung-young and Murdoch even made a move.

Rufus Murdoch tried to acquire Dow Johnson, but the Bancroft family refused to accept. However, Rufus Murdoch did not give up on acquiring Dow Johnson.

Murdoch has not commented officially on the rumors, and Dow Johnson has also not issued a statement.

But even though it was just a rumor, the stock price was trending upward.

"You'll say that you offered $60 a share and the board rejected it. The shareholders will be very happy. If someone is offering a higher price, you can negotiate well."

With those words, Murdoch closed his mouth tightly. The person who heard Murdoch's words was Han Kyung-young.

"It makes no sense to fill the editorial board solely with recommendations from journalists. If that's the case, journalists should pool their money and take over. They own it but don't manage it. Chairman Murdoch agrees with this. However, we cannot accept the act of ignoring the rights of major shareholders. To this extent, we have made a lot of concessions. And······."

Han Kyung-young said Murdoch planned to grow the Wall Street Journal with a huge investment after acquiring Dow Johnson.

The tug-of-war lasted more than two hours, but negotiations ultimately broke down without an agreement being reached.

After leaving the mansion, Han and Murdoch immediately held a press conference to officially acknowledge their plans to acquire Dow Johnson.

"Sixty dollars a share. This is a price we are offering not only to the Bancroft family, our major shareholders, but also to all shareholders with voting rights."

Murdoch officially acknowledged the takeover offer and disclosed the amount he had offered.

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"I proposed to guarantee the jobs of the current Wall Street Journal editors and reporters, as well as to establish an editorial board to ensure editorial freedom. Half of the members of the board would be selected by the board of directors, and the other half would be selected by a vote of all the reporters at the Wall Street Journal. All of them would be outsiders, and I would have no intention of exerting any influence."

Even as the camera shutters clicked like crazy, Murdoch continued speaking with a familiar tone.

"If the board rejects this proposal, I intend to step down cleanly. I'm sorry, but I won't take any questions."

Murdoch ended the press conference unilaterally, turned around and entered the News Corp building.

The day after Murdoch's press conference.

Dow Johnson's stock price broke $50 in one day.

< I was just lucky > End