Business

The telecommunications company Cronos Group, based in Hong Kong, is opening its European offices in Barcelona to offer services throughout the continent and worlwide. According to the Catalan Ministry of Business and Employment, the company is expected to create 25 new jobs in the first year operating from the Catalan capital. Currently 10 people are already working in Cronos’ Barcelona offices. The project received the assistance of the Catalan Government’s programme ‘Invest in Catalonia’, which focuses on attracting foreign investment and international business. Cronos’s Managers explained they have decided to settle in Barcelona because it had become the world capital of the mobile phone and of telecommunications, since each year it organises the main international event in this sector. Furthermore, Cronos Group praised the talent and skills of Catalan workers.

Speaking to the Economic Affairs Committee of the European Parliament, the European Commissioner for Employment, Lázló Andor, said that Spain should profit from its decentralised organisation to help fight youth unemployment. He suggested that the rest of Spain’s Autonomous Communities should follow the examples of Catalonia and Navarra to improve employment levels among youngsters. The European Commissioner said that Spanish authorities should take note of the plans launched by Catalonia and Navarra, where the youth unemployment situation “is better than the national average”. However, despite these levels being lower than in most of Spain, youth unemployment in Catalonia is worryingly high, at more than 53% in July.

Over 4,000 people have visited the 27^th edition of the World Electric Vehicle Symposium (EVS27), which is the main international congress and trade fair in this field. It was held from the 17^th to the 20^th of Novemberin Fira de Barcelona’s Gran Via venue. According to the organisers, this year’s edition which took place in the Catalan capital for the first time was “the most successful” and also “the most international”, with attendees from 58 countries, 1,300 delegates and 232 exhibitors. During the fair, the major brands exhibited their new electric models while the latest technologies for electric vehicles, especially batteries and charging systems, were also on display. Meanwhile, the World Electric Vehicle Association (WEVA) awarded on Wednesday afternoon the E-Visionary Prize, distinguishing Malaga (Spain), Indianapolis (US) and the Japanese Goto islands as the three most sustainable urban environments in the world.

Catalan pharmaceutical company Grífols has purchased 21.3% of Belgian biotech company TiGenix for €12 million through the subscription of a capital increase. TiGenix is a leading company in the field of cell therapy. The agreement settled on the appointment of two Grífols Members on TiGenix’s Board and a preferential right to negotiate the development and commercialization of all TiGenix products, with the only exception of advanced-medicinal product ChondroCelect. Earlier this month, Grífols had already strengthened its therapeutic arsenal by buying part of the Diagnostics unit of Swiss multinational Novartis for $1,675 million.

The Spanish Government has finally set a date for the first direct High Speed Train between Barcelona and Paris. Passengers will no longer have to switch trains near the French border and a direct TGV will link Paris and Barcelona from the 15^th of December. The journey will last 6 hours and 20 minutes, since there is no high-speed railway in the 200-kilometre stretch between Perpignan and Nîmes and trains circulate at a regular speed. The High-Speed railway between Nîmes and Montpellier should be operative by 2017, but the French Government announced last June that the construction of the 150 km between Montpellier and Perpignan would be delayed beyond 2030. The Catalan Executive as well as French and Catalan Euro MPs have requested the French Government to reconsider its decision after the EU has included the Mediterranean Railway Corridor among its 9 main transport priorities until 2020.

The German chemical and pharmaceutical company has picked Barcelona to provide shared services to its subsidiaries in Greece, Turkey and Latin America, which account for 25% of the total group sales. Bayer’s Shared Service Centre in the Catalan capital will expand its tasks and responsibilities by taking over the accounting, controlling and IT services for these geographical areas. The expansion will take place over 2014 and the centre will pass from being in charge of 11 countries to 22, managing over 50 Bayer subsidiaries. The General Manager of Barcelona’s Centre, Erik Schonebeck, stated the project would “consolidate” the 300 existing jobs in the Catalan capital but no further new jobs would be created in the short-run. Barcelona hosts one of Bayer’s 5 global headquarters.

Barcelona has hosted the CitiSense forum on smart cities on the 17^th and the 18^th of November. Over 250 mayors and representatives from a hundred different countries have shared their knowledge and experience on smart cities, open innovation, energy savings and efficient mobility with 69 experts. Barcelona was chosen because it serves as a laboratory for both innovation and knowledge and also for its proud history among smart cities. By organising this forum, the World Bank was hopeful that other cities with a margin of “smart” growth would take advantage of the experience of more advanced cities in this area such as Barcelona. The CitiSense forum was intentionally launched simultaneously with the Smart City Expo, which takes place in Barcelona and aims at promoting internationally methods and projects in this field.

Emin Capital will buy Barcelona’s Torre Agbar, designed by Jean Nouvel, for €150 million. North-American Hyatt will invest a further €35 million to transform the 145-metre-tall building into one of its grand luxe hotels. Grand Hyatt hotels – the US company’s luxury brand – tend to occupy iconic buildings in the world’s main business cities. The Agbar Tower has become one of the most emblematic buildings of the Catalan capital, with its blue and red lightening and bullet shape imitating a flame. Nouvel’s tower was unveiled in 2005 to host the main headquarters of the water distribution multinational Agbar. The Catalan multinational, which owns the 50,000-square-metre tower, will now look for another building in Barcelona to place the 700 people working in its central offices.

Vueling will launch 14 new routes from Barcelona El Prat Airport in the summer of 2014, reaching a total of 117 destinations from Catalonia’s main airport. Starting next summer, the Barcelona-based airline will favour German and Russian destinations. The company has also bought 7 new aircrafts, to make the total number of Vueling planes based in Barcelona El Prat reach 50. The Catalan Minister for Business and Employment, Felip Puig, said these new routes coincided with the Catalan Government’s tourism strategy. Vueling currently holds 34% of the market share of the El Prat Airport and the company wishes to control 50% of this infrastructure’s air traffic within the next 5 years. With a total of 240 routes and 14 million passengers a year, Vueling is expected to become the leading airline in Europe for short- and medium-distance flights.

Barcelona will host the 27^th International Electric Vehicle Symposium and Exhibition (EVS27) and the Expoelèctric trade fair in mid November. Organising these two fairs is part of the city’s economic strategy to boost the electric vehicle sector, which has been declared a priority for the entire Greater Barcelona area and Catalonia. The latest technologies, notably batteries and charging systems will be on display in the Catalan capital, while the organisers also hope to introduce electric vehicles to a very wide audience. These fairs will coincide in Barcelona with two other events dedicated to sustainable development: the Smart City Expo and BCNRail, both taking place between 19-21 November.

Car manufacturer SEAT, based in Martorell (Greater Barcelona), has set up 53,000 solar panels on the roof of its main factory and on top of parking spaces. The company has just completed the third stage of a €35 million project, which started in 2010, and occupies 10% of the 3 million square metres of its Martorell facilities. The solar panels occupy an extension equivalent to 40 soccer fields and can generate 15 million kWh of clean energy per year. This is equivalent to 25% of the energy needed to produce the Seat Leon or to the “annual consumption of 3,500 households”, said President Jürgen Stackmann. With this eco-friendly project Martorell is now the automation factory with the largest solar plant in the world. Furthermore, the panels were installed over existing facilities and do not occupy additional space.

The Catalan pharmaceutical company Grífols, based in Greater Barcelona, has bought part of the diagnostics unit of Swiss multinational Novartis for $1,675 million. Grífols has acquired products and ‘in vitro’ technology applied to diagnoses in the fields of blood transfusion and immunology, along with a production plant in California and offices in the US, Switzerland and Hong Kong. With the acquisition, the Grífols Diagnostic Division will represent $1 billion, 20% of the Catalan group’s total revenues. Grífols is the world’s third largest company in the production of blood-plasma derivatives. In the first half of 2013, Grífols registered a profit of €182.2 million, an increase of 36.9% on the same period of 2012.

Barcelona City Council and the Catalan Government’s programme ‘Invest in Catalonia’ are among the winners of the 2013 Financial Times’ Foreign Direct Investment (fDi) Innovation Awards, which “recognise the world’s most creative investment promotion agencies”. Barcelona City Council has received an award in the town-planning category thanks to its pioneering role in the development of smart cities: the Catalan capital has prioritised smart-city applications and projects, trying to become one of the world leaders in this category. In addition, ‘Invest in Catalonia’, a programme of the Catalan Government’s agency for business competitiveness ACCIÓ, received the award in the business matchmaking category.

The Catalan Government has forecasted a 0.9% economic growth for 2014 in its budget proposal for next year, leaving behind the recession of 2012 (-1.2%) and 2013 (-1.1%). The positive figures are mostly due to the strength of the export sector – which will continue to improve its results. The main factor slowing down growth will be the internal demand, which will continue to decrease although it will do so at a lower pace. In addition, the Catalan Executive believes the unemployment rate will decrease and reach 23.1% by the end of the year. It is expected 2013 will end with a 23.7% unemployment rate, higher than the 22.6% rate registered at the end of 2012.

However, in annual terms, Catalonia registered a fourth consecutive drop in unemployment figures with a 1.93 % decrease compared to October 2012 and 12,474 fewer jobseekers. By the end of October 2013, 633,832 people were registered as unemployed at the offices of the Catalan Public Employment Service (SOC), meaning a 2.08% increase since the month of September, with 12,921 extra people unemployed. These latest figures, which were released by the Spanish Ministry of Employment and Social Security, also indicate a third consecutive month of growth in unemployment. In the whole of Spain, registered unemployment also increased for the third consecutive month.