catalan companies

The Catalan fashion multinational Desigual will be strengthening its presence in the Americas over the coming months. In 2015 it will be entering new markets, with the opening of its first three stores in Mexico and three in Montreal, Canada. Its entry into the Aztec country will be made through a franchise, alongside the company El Palacio del Hierro (the Iron Palace) which owns luxury boutiques in Mexico, a market considered a “priority” by Desigual. Thanks to this cooperation, Desigual clothes will be sold in almost 30 different department stores throughout Mexico. In addition the Catalan brand will open its own boutiques in Andares in Guadalajara, Antea in Querétano and in Mexico City. Moreover, Desigual has also committed to strengthening its presence in the US before the end of 2015, with the opening of two new stores, one in Miami and the other in Las Vegas.

Between the 18^th and the 20^th of November, Barcelona is hosting the 4^th edition of the Smart City Expo World Congress. This year it will be the most international edition so far, with 400 cities from 5 continents represented, a 33% increase. Participating cities include Berlin, Munich, Boston, Chicago, New York and San Francisco, who are present at the Fira de Barcelona exhibition centre. The goal of reaching 9,000 visitors may be achieved, as nearly 700 people attended the opening ceremony on Monday. Companies are presenting technological applications for improving the sustainability, mobility and quality of life of everyday citizens. Applications being presented this year include drones for cities, technology to monitor free parking for busy commuters, and applications to assess air quality for the physically active and for choosing the best place to open a business.

Catalonia’s registered unemployment figures for October have been released by the Spanish Ministry of Employment and Social Security, and while they have increased it is the lowest rise in four years. The number of people registered at the Catalan Public Employment Service (SOC) stood at 587,133 people in October, a rise of 1.97% since September, with an increase of 11,321 people. This October increase is the lowest in four years according to the Ministry series, which began in 1996. Compared with October last year, the number of unemployed people in Catalonia decreased by 7.37%, equivalent to 46,699 people. Since July 2013, this represents 16 consecutive months of annual decreases. In the whole of Spain, there were 4,526,804 people unemployed in October, 79,154 more than in September. Across Catalonia, unemployment increased in monthly terms in all four provinces, but decreased throughout in annual terms. The Catalan Government "confirms positive trend" in employment.

On Monday, the 'World Travel Market' (WTM) opened in London and Catalonia is participating with a 300 m² exhibition stand promoting a variety of its tourist destinations and highlighting its uniqueness with areas as diverse as the city of Barcelona, the Costa Brava and the Penedès wine region. The WTM is highly important in the tourism and travel industry, and represents a crucial opportunity for business networking and attractive investment. Catalonia’s participation strengthens its growing importance as a holiday destination for British tourists, who have increased by 4% and represent revenue of €1 billion in the first 10 months of 2014, the second largest after the French. Through the event, Catalan companies will mix with 5,000 other organizations from 200 countries, with an estimated 50,000 professionals from the industry participating.

Abertis, the international group which manages transport and telecommunications infrastructures, has announced it will list its telecom exchange business on the Stock Exchange in 2015. The Catalan company presented its new Strategic Plan for 2015-2017 to investors in London this week. The main objectives of the decision were to develop its business strategy, increase returns for shareholders and boost growth. The company currently owns 8,000 radio, television and mobile signal towers. Besides, Abertis presented its numbers for the first nine months of 2014 to the Spanish Stock Exchange Authority (CNMV), including a net profit of €560 million, an increase of 4.6%. The new Strategic Plan also envisages a dividend increase of 10% for its shareholders every year until 2017.  

The 18^th Edition of the Barcelona Meeting Point will take place between 29 October and 2 November in Fira de Barcelona's Montjuic venue. The trade fair is a real estate exhibition that brings together buyers and sellers to network and learn about the latest industry trends. This year there will be 265 participating companies from 23 countries. According to the show’s President, Enric Lacalle, it will be the first edition to open in a recovering housing sector, after 6 years of crisis and setbacks. The real estate market is strengthening; there was a 36.6% increase in the acquisition of houses by foreigners in 2013 and a 12.5% rise in housing sales throughout Spain. In addition, real estate investment in Barcelona is expected to exceed €1.6 billion in 2014, 30% more than last year. In fact, 21 international investment funds will participate in the trade fair. The show will also include a series of talks and presentations, and offer financing options for property purchase.

Figures released by the Barcelona Chamber of Commerce on Monday showed that the economy of Catalonia is set to grow by 1.6% in 2014 and 2.1% in 2015. The Chamber also predicted that by 2015, there will be a 2% rise in Spain’s GDP and 1.4% in that of the Eurozone countries average. According to the President of the Chamber, Miquel Valls, the recovery of Catalan and Spanish economies is "solid", but he stressed that the "austerity in wages" must be maintained. This report comes after the success of all Catalan banks passing the stress tests issued by the European Banking Authority and the European Central Bank, which 25 banks across Europe failed. Related economic news is that the unemployment figures released for third quarter of 2014 set Catalonia’s rate at 19.1% and Spain’s at 23.67%.

Spain's unemployment rate at the end of the third quarter stands at 23.67%, according to the latest Active Population Survey (EPA). The unemployment rate for Catalonia has fallen below 20% for the first time in the last 3 years and is set at 19.10%. The number of unemployed people in Catalonia has dropped by 44,400 in the third quarter of 2014, a decrease of 5.76% compared to the previous quarter. This is the biggest reduction since at least 2002, when the Spain's Statistical Institute began the series. Thanks to the creation of 69,100 new jobs in Catalonia over the last 12 months, there are now 34,800 more people employed in the third quarter. This makes Catalonia have the second highest unemployment drop in Spain, second only to Madrid Region (-48,200 people). The Catalan Minister for Business and Employment, Felip Puig, has called the figures are "encouraging" and "hopeful", although a 19.1% rate is still "very high".

The energy company Gas Natural Fenosa announced they have launched a tender offer for 100% of the share capital of the Chilean Compañía General de Electricidad (CGE), which represents a €2.6 billion purchase. The transaction is to be the biggest international  acquisition by the Barcelona-based company. The total size of the operation, including the consolidated debt of CGE and its subsidiaries, is approximately €6 billion. It expected to generate over €600 million gross profit next year. Purchase of CGE, which distributes electricity to 43% of the Chilean market, and has 2.5 million customers, will increase the Catalan company's presence in Latin America. Furthermore, this deal will allow Gas Natural Fenosa to meet its 2015 growth targets and strengthen its presence in Latin America.

Pimec and Foment, Catalonia’s largest employers’ associations, have expressed outrage at the Spanish Government’s budget proposal for 2015 and its planned investment in Catalonia. Both Foment, which groups the largest employers, and Pimec, who represents small and medium-sized enterprises, have criticised that the Spanish Government has allocated to Catalonia only 9.5% of Spain’s total investment, despite it contributing 19% of the country's GDP and having 16% of its population. Spokespersons for both organisations have said the shockingly low budget is at odds with Catalonia’s high productivity and represents "a missed opportunity", both for economic growth and political dialogue, considering the independence debate. According to Ramon Adell, from Foment, Catalonia "as the engine of recovery, deserves a greater investment in infrastructure."

Barcelona-headquartered Ficosa International S.A and Japan-based Panasonic Corporation signed an investment agreement on Tuesday to form a capital and business alliance through a €250 million operation. According to the official press release by Ficosa, as part of the capital alliance, Panasonic will take a 49% stake in the Catalan company. Ficosa is a company that specializes in automobile components, founded in 1949 in Barcelona, where the headquarters remain. It grew at a phenomenal rate and now has around 8,000 employees in 18 countries around the globe, with net sales of €925 million as of December 2013. It is best known for its gear-boxes and rear-view mirrors, of which it produces over 20 million a year. The goal of the alliance will be for both groups to develop projects towards a future self-driving car, while also being mutually advantageous from a business perspective.

Catalonia’s GDP recorded an annual increase of 1.4% in the second quarter of 2014, the best result since September 2008, according to official figures published on Friday by the Catalan Institute of Statistics (IDESCAT). The 1.8% increase in domestic demand means that the annual rate of Catalonia’s GDP is higher than Spain's average, and more than that of the European Union (EU28), both located at 1.2%. Not only is Government spending showing a favourable trend, but there has also been growth in the services sector, and those of industry and agriculture. From September 2014, the EU has set mandatory implementation of the new European System of Accounts (ESA 2010), which IDESCAT plans to have in place to coincide with the results of the GDP in the fourth quarter of 2014.

Last July, Catalonia broke its export record ever achieved in a single month, reaching €5.67 billion. This marked a 6.9% growth from the same month in 2013. Furthermore, Catalan sales abroad reached another record high in the period between January and July of 2014, at €35.44 billion, an increase of 2.6% from last year's same period. Meanwhile, exports have increased throughout the rest of Spain by 1.3% between January and July in their 2013 figures. Nowhere is the export growth faster than in Catalonia, which counts for 25.2% of Spain's total.

The President of the Catalan Government, Artur Mas, stated once again that the self-determination consultation vote will take place on the 9^th of November but he also added that "things have to be done in the right way". In front of businesspeople at an event of Barcelona's Chamber of Commerce, Mas stressed that "both things have to come together", meaning voting and doing things right. He underlined that "this means always respecting an existing legal framework". After the controversies on whether the vote should take place if the Constitutional Court bans it, Mas insisted that the call will be based on Catalan legislation and that the Court might not ban it in the end. Besides, he admitted that Catalonia's "freedom" would come with some economic costs, but that those of continuing in the current situation would be much higher. Mas also said that Pujol's scandal "will not affect" him or the Catalan Government.

Barcelona-based Caixabank has come to an agreement with Barclays Bank PLC to buy Barclays Bank SAU for €800 million. The purchase of Spain's banking business of the UK company includes 550,000 new customers, a network of 270 branches and nearly 2,400 employees. However, the agreement excludes Barclay's Spanish investment banking business and Barclaycard, which will remain in the hands of the British entity. It is expected that the transaction will become effective later this year. The restructuring process following this acquisition will cost CaixaBank an estimated €300 million. However, the elimination of duplications is expected to save the Catalan bank €70 billion gross in 2015, €80 billion in 2016 and €150 million a year from then on.