Chapter 6
Chapter 6
Chapter 6
translator PennyWorth
The black-haired investor 006 awakened as a superhuman
==========
January 20th.
Martin Luther King Jr. Day.
Today is a public holiday.
The stock market is closed.
But even if it were open, the situation in Korea was unlikely to have a significant impact here.
Despite the occurrence of Wuhan Pneumonia cases.
Even the Korean market, the country directly affected, still didn't take the matter seriously.
The Korean market is as calm as any other day.
Pop!―
A small chat window suddenly popped up in the lower right corner of the screen.
A familiar name appeared in the chat window linked from my LinkedIn page.
A colleague I used to work with at Goldman Sachs, now my former company.
It was Eric.
[ Eric: Would it be rude to say I knew you'd be here? ]
[ Hyun-woo: I don't care. Invest in my project if you're interested. ]
I thought I could hear a sneer, but I didn't care.
[ Eric: There was a lot of talk after you left. I think the higher-ups were quite concerned. You weren't someone who could be easily dismissed. ]
[ Hyun-woo: That's all in the past. Did you contact me just to say that? ]
[ Eric: No, I just thought of you when I saw the breaking news from Korea. You made a really cool exit that day. ]
[ Hyun-woo: You can do it too. ]
[ Eric: So, have you taken a position? ]
[ Hyun-woo: Of course. But I want to make it bigger. It seems like Wuhan Pneumonia is still only considered a problem limited to Asia. There's still an opportunity. So, how about doing it properly with me? ]
[ Eric: Are you serious? ]
[ Hyun-woo: You know I don't say things like this as a joke. ]
Eric's sneer might be getting stronger, but I didn't care. I was already responding to that sneer with a smile anyway.
Eric is a blabbermouth.
By tomorrow, the rumor will surely spread throughout the company and to various network clubs in this industry.
In fact, that's why I'm deliberately talking about this now.
I really didn't care about ridicule or anything else.
As long as attention is focused on me.
My reputation will grow with it.
Now was the time to throw one last word into the chat window, which had become rudely silent.
[ Hyun-woo: We'll see who's right soon. Just wait. ]
This word will also be spread everywhere like my last will tomorrow.
* * *
I woke up after a nap.
I slept really well.
It's always amazing to be able to get a good night's sleep while maintaining a position.
'That's proof of how confident I am in my position.'
Despite it being a holiday, I received a reply email from the Fintech company, Sofi.
『 Sofi
• Company Value: $1.25 Billion 』
The data I had checked on the Bloomberg Terminal a while ago now came to mind as a perfect visual image.
I read the reply email, thinking that they work really hard for a rising company.
「 As a Wharton School graduate and recognized financial expert, you are eligible for Sofi's loan program.
Sofi offers competitive loan products to professionals with high levels of education and high-income potential like you.
Loan Amount: Up to $100,000.
Interest Rate: An interest rate between 5% and 7% may apply, depending on your creditworthiness and financial situation.
Sofi offers competitive rates and flexible repayment terms specifically designed for highly educated financial professionals like you. 」
While filling out the loan application, I thought:
Sofi has enough potential but is not utilizing it 100%.
Even though it could increase its current corporate value tenfold at once, it is not fully realizing its potential.
They must be receiving a lot of consulting, but is this all they can do?
'If it were me…….'
Various companies came to mind.
It wasn't difficult for me to identify the few companies that Sofi needed from among those many companies.
It was just a matter of piecing together the numerous pieces of corporate information stored in my memory like a puzzle.
So, the places I chose were Galileo and Eight Securities.
Galileo, a mobile payment company, and Eight Securities, a Hong Kong stock trading platform!
If Sofi acquires those two.
Only then would it have the conditions to be reborn as a global comprehensive Fintech company that replaces the role of traditional banks.
Officially listed through a merger.
Then the corporate value could achieve ten times its current value.
It was too bad to just keep this excellent strategy in my head.
So, I created a file and attached the relevant data.
Then.
「 ps. I am attaching one more file in addition to the loan application.
"Global Innovation Replacing Traditional Banks: Sofi's Future Growth Strategy"
If you review this growth strategy and decide to adopt it, please consider a consulting fee of ($100,000). 」
Now all I have to do is press the send button.
But I couldn't shake the feeling that I was taking too much of a loss, so I kept hesitating.
After a long period of deliberation, I finally put my hand on the mouse.
Click!―
* * *
Sofi headquarters, inside a high-rise building located in the SOMA area of San Francisco.
Several senior executives gathered in a conference room filled with sunlight through the windows.
The reason they gathered in one place was because of an email from the loan department.
A special proposal was attached to the email, and CFO Chris Laporte reviewed it and then convened all the executives.
Chris's eyes were full of confidence.
"How great can it be? Let's get started."
CEO Anthony Noto sat at the head of the table and announced the start of the meeting.
"The proposer is a friend named Hyun-woo who recently left Goldman Sachs."
The executives immediately picked up the files placed in front of them.
The first page contained a brief profile of Hyun-woo Na.
「 Profile
• Name: Hyun-woo Na
• Date of Birth: February 28, 1990
• Nationality: United States
• Education:
- Bachelor of Arts in Economics, Princeton University
- MBA, Wharton School
• Career:
Goldman Sachs
- Period: Started internship in June 2017, officially hired in December 2018, resigned in January 2020
- Department: Equity Derivatives Trading Department
- Position: Equity Derivatives Prop Trader
• Key Achievements:
- Responsible for global equity and derivatives trading, leading high-risk, high-return strategies.
- Managed market volatility and maximized profitability by utilizing various derivatives.
- Achieved the highest annual return rate within the team in 2019. 」
While reading this short profile.
Anthony's expression changed subtly.
Because it overlapped with his younger days.
'A young junior.'
Three years in, he was still a junior.
So, Anthony was wondering.
What proposal from this fledgling had set fire to SOMA in San Francisco?
"Global Innovation Replacing Traditional Banks, Sofi's Future Growth Strategy?"
After reading the title of the proposal, Anthony made eye contact with Chris.
Chris smiled and said.
"You have to read this strategy yourself. It's well worth it."
All morning, Chris had been telling only how great the proposal was with colorful rhetoric, without telling the contents, as if it were a carefully wrapped Christmas present.
"You can look forward to it."
Finally, Anthony and the company's executives began to read the proposal in earnest.
The initially calm eyes changed as they turned the pages.
Anthony occasionally raised his eyebrows and reread the sentences as if recalling them. He checked important parts by pointing at the text with his finger.
It was from the beginning of the full-scale strategic M&A proposal.
"Galileo? Eight Securities?"
Anthony asked without taking his eyes off the proposal.
"Where is the acquisition target report?"
His voice was mixed with curiosity and surprise.
It was the expected reaction.
Chris already knew that question would come up.
He looked at his secretary with a satisfied look.
Then the secretary came in with a stack of files prepared in advance and placed them in front of each executive.
The proposal to increase the size of the company through mergers and acquisitions had already been received several times from various consulting firms.
There are four companies that are strongly recommended in common.
Plaid.
Acorns.
Betterment.
Chime.
However, even in the list of companies recommended at a lower level, Galileo and Eight Securities, which Hyun-woo proposed, were missing.
As if anticipating that Anthony would find this strange, Hyun-woo's explanation was immediately attached.
「 The reason why Galileo was not recommended as an acquisition target by other consulting firms is probably because most consulting firms preferred consumer-oriented companies as part of strengthening their market dominance.
However, for the following reasons, the acquisition of the four companies mentioned above is not appropriate.
① Plaid: Your company is likely to suffer significant losses in the acquisition competition with Visa.
② Acorns: Acorns' services overlap significantly with your company's existing services, so the synergy effect after the acquisition may be limited.
③ Betterment: Betterment's Robo-advisor technology is excellent, but it may be difficult to expect sufficient synergy in integration with your company's investment services.
④ Chime: As a competitor providing services similar to yours, it may be a better strategy to strengthen your position in the market through competition rather than acquisition.
Galileo and Eight Securities are companies that provide B2B financial technology infrastructure.
It can provide an important technological foundation for your company to grow into a comprehensive Fintech platform that replaces traditional banks, rather than staying in the existing market. 」
'Traditional bank'
Anthony's eyes lit up.
Only then did he realize why he had been putting off the proposals from other consulting firms.
In this Fintech market, which can still be said to be in its early stages.
Company growth plans that only consider market dominance could not properly persuade executives.
'You can go fast, but you can't go far.'
But Hyun-woo's proposal was different.
Hyun-woo's proposal is in line with the ultimate goal pursued by Fintech companies.
On the other hand, it also specifically presented the direction and specific methods.
'If we acquire Galileo and Eight Securities, we can definitely achieve both technological capabilities and market expansion.'
That wasn't the end.
'Amazing. I didn't expect this much.'
Anthony couldn't help but admire the proposal as he read it.
Presenting the financial and market conditions of Galileo and Eight Securities, it also contained an implementation plan that they would actively accept Sofi's acquisition proposal.
Even a funding plan!
"1.2 billion dollars for Galileo, 60 million dollars for Eight Securities……."
When Anthony muttered to himself.
A bright voice returned as an answer from one side.
It was Chris.
"It is feasible."
Anthony clenched his fist.
He couldn't contain the excitement that was rising from the depths.
The wing called Galileo will provide Sofi with powerful technological propulsion. Various financial services will be stably integrated on a single Sofi platform.
The wing called Eight Securities will be a stepping stone to expansion into the Asian market and further to the global market.
'Sofi, with these two wings spread, will become a giant eagle soaring high into the sky, beyond a simple Fintech startup, on the world stage!'
Bang.
Anthony slammed his clenched fist on the desk and shouted.
"Hyun-woo! I have to meet this guy right away! He's an amazing guy!"