Business

Seat, which is owned by Volkswagen, will assemble the new car in its Greater Barcelona plant. The new León SC has a more coupé design, with three doors, and will be on sale by May. It comes after last year’s launch of the five-door Seat León at the Paris Car Fair. James Muir, the President of Seat, stated that the brand will “explore new territories” with the new model, which has “dynamic” bodywork. According to Muir, this “guarantees the pleasure of driving” without diminishing “functionality”. The Catalan car manufacturer has also confirmed that it will stop building its Seat Exeo saloon car model as of July. In 2012, Seat posted overall losses, due to a drop in the Spanish market, and now Germany is fast becoming its main market.

The Barcelona-based company Applus+, partially-owned by the Carlyle Group and specialized in automobile technical inspections, reports and certificates, has bought the Chinese company EDI. The transaction, whose cost is unknown, allows the company to increase its capacity in the Asian market. The acquisition of local companies is one of the usual tactics by the Catalan corporation to reach new markets worldwide. Applus+ is present in 65 countries already and most of its revenue comes from international markets. Besides, the operation reinforces Barcelona’s position as an international centre of the automation industry.

The world’s main event of the mobile technology industry, which takes place in Barcelona every year, ended on Thursday. This year’s event broke all records, going beyond all expectations. This was the 8th consecutive year the event has been organised in Barcelona, and this year the GSMA Mobile World Congress moved to a new venue in Fira de Barcelona, which has a much larger capacity. “We are very happy with the record results for the 2013 MWC in our first year in Fira de Barcelona’s Gran Via venue”, stated John Hoffman, CEO of GSMA, which organises the congress. Over the four days, senior executives of the world’s main companies of this industry gathered in the Catalan capital. It had an impact of more than €320 million for the local economy.

Catalan companies at the Mobile World Congress increased their presence in the international event by 40% in comparison with 2012. 56 companies were supported by the Catalan Government, which grouped 48 of them together under the Catalonia Stand. They also introduced to the technologic market new apps in different fields and closed deals with other international companies. Most of them are formed by small teams of young entrepreneurs who were looking for venture capital and were making contacts with international businesses to launch their latest technological projects.

Vueling earned a net profit of €28.3 million in 2012, almost three times more than the €10.3 million of 2011. It transported 14.8 million passengers, 20.1% more than in the previous year, with an occupancy rate of 77.7%. The Barcelona-based airline continues with its international expansion, especially in Western Europe, and it has become the third largest airline in Paris-Orly and Roma-Fiumicino. It also increased the passenger traffic share it controls in Barcelona El Prat Airport by up to 30%. The total revenue reached €1.103 billion last year, 27.7% more than in 2011. Vueling occupied part of the market share left by Spanair in Barcelona. Besides. the Spanish Stock Market Authority has authorised IAG’s take-over operation of Vueling, aiming to take total control of the Catalan company.

The GSMA Mobile World Congress, the main international trade fair and congress for cell-phone-related industries, is being held in the Catalan capital from Monday the 25th of February until Thursday the 28th. 70,000 attendees, half of which are senior executives from 200 different countries, are coming to Barcelona to develop new business opportunities and discover the sector’s novelties. With 94,000 square metres of exhibition space, 1,500 participating companies and 300 speakers, the 2013 MWC will break all previous records, and it will be the 8th consecutive year it has been organised in Barcelona. In addition, Barcelona will unveil its new Mobile World Hub by June, aiming to become the world capital of the mobile industries in its own right.

The Barcelona-based bank, CaixaBank, which leads the Spanish retail banking market, is planning to lay off 3,000 workers in order “to adapt to the current context” and “improve the efficiency” of its resources. According to the Catalan financial company, the reform is “necessary” after having taken over Banca Cívica’s network and as they absorbing Banc de València’s too. CaixaBank has engaged in formal talks with the unions, which could be on-going until late April. The objective is to negotiate the exact measures to adjust the staff numbers to the business volume.

The platform, which is aiming to become one of the world’s main hubs for companies working within the mobile and cell phone-related industry, will start its activities in the Catalan capital in June. The Mobile World Hub aims “to transform Barcelona and Catalonia into the best mobile framework” to enhance entrepreneurship, develop business projects, attract talent, create knowledge and become one of the main world centres of the mobile industry. In addition, it will also work to make of Barcelona an international lighthouse hosting the regulation and standardization bodies for the mobile industry. The Mobile World Hub will be located in the MediaTIC Building, a high-tech venue in the Catalan capital’s Poblenou neighbourhood. The announcement comes five days before the Mobile World Congress kicks off.

The highway, airport and telecommunication services management company earned a net profit of €1,024 million in 2012, 42% more than in the previous year, mainly thanks to the sales of Eutelsat and Brisa. The net profit without the surplus value reached €613 million, 2% more than in 2011. The Barcelona-based group presented better results in all of its main financials: revenues increased by 3%, recurrent earning before interest, taxes, depreciation and amortization (EBITDA) by 2%. Abertis emphasised that these results have been reached in a context of economic recession in some of its main markets. However, the traffic increase in the Americas (+4.5%) and Abertis’ efficiency plans compensated for the traffic decrease in southern Europe.

The Catalan energy multinational’s earnings before interest, taxes, depreciation and amortization (EBITDA) reached €5.08 billion, 9.4% more than in 2011, thanks to its international business, which grew by 22.6% and balanced out the stagnation in the Spanish market. In fact, Gas Natural Fenosa’s business in Spain now only accounts for 56.8% of its gross profits, while in 2011 this represented 61.5%. Furthermore, the firm’s financial debt decreased by 7.5% and now the company’s financial debt/EBITDA ration is 3.1. With these results, the Barcelona-based company has fulfilled the objectives of its strategic plan up until 2012.

Barcelona plays host each year to the world’s largest cell phone-related technology event, the Mobile World Congress, and the Catalan city is becoming an international hub in this field, concentrating several platforms, business initiatives and cultural projects. In fact, Barcelona was declared the Mobile World Capital, in order to act as a global meeting point and platform for mobile related industry. The Mobile World Centre was unveiled on Thursday in Catalunya Square, in the heart of the city, and will become a permanent lighthouse for mobile technology. It will display human stories of how this technology can help in everyday life, explaining the latest developments and also the history of this industry.

Economic recession hit Catalonia even harder in 2012 than in 2011, when it dropped by 0.7%. The contraction was especially severe in the last quarter of the year. In December, Catalonia’s GDP plummeted by 0.6% compared to 3 months previously. The fourth quarter’s poor figures made the Catalan economy contract by 1.3% over 2012. In 2011, it also decreased but at a slower pace, dropping by 0.7%. For the whole of Spain, the economy plummeted by 1.8% in 2012 and by 0.7% over the last quarter of the year, compared to the figures from September 2012. The main reason behind the last quarter’s drop is the decrease in consumption by families, compared to the purchases made in the third quarter, before the VAT increase.

Leading Catalan electric and natural gas company Gas Natural Fenosa has bought 10% of Medgaz, a submarine gas pipeline between Algeria and Europe that provides natural gas to the south of Europe. The pipeline has a capacity of transporting eight billion cubic meters per year and the acquisition has cost the Catalan company €61.9 million. Gas Natural Fenosa will use 10% of the transport capacity of the gas pipeline. The contract will last for 18 years.

The 2,885 housing units sold in Catalonia during December increased by 4% compared to the figures from a year ago. The main reason for this rise is that, in January, the Spanish Government’s tax benefits applied when purchasing a house – approved to reactivate this economic sector after the collapse of the real estate market – will no longer exist. 66% of the houses and apartments sold were second hand, while the other third were newly built. For the whole of Spain, housing sales increased by 2.3% in December. In 2012, house sales dropped by 11.3% over 2012.

The Catalan Banc Sabadell finished 2012 with positive results and net benefits of €81.9 million. Banc Sabadell has now reached 5th position among the Spanish financial entities in the last economic exercise due to its assets valued at €175 billion. However, this figure shows a 64.7% drop in benefits in comparison to 2011. The main reason for the decrease is the €2.54 billion for provisions, 142.2% more than 2011. The President of Banc Sabadell, Josep Oliu, emphasised the company’s solvency and spoke of its capacity to buy additional entities in the international market.