foreign investment

Barcelona has gone from 22^nd to 7^th place in the list of 468 European cities with the best economic prospects; it is ranked the 19^th most competitive city in the world and the 10^th in Europe; it stands at 10^th in the world in terms of receiving new business investments; and it became the 4^th city hosting the largest amount of congresses at world level. The report was produced by the Chamber of Commerce of Barcelona in collaboration with the City Council. Furthermore, another study compiled by ESADE business school stressed that Barcelona is the 1^st European city in money spent per tourist in shopping, ahead of London and Paris. The Mayor of Barcelona, ??Xavier Trias, welcomed the news but also emphasised the ''shadow'' of having more than 100,000 unemployed in Barcelona, a number he finds “unbearable.”

The Catalan Government issued last Friday the public tender for granting licenses to build six mega-casino hotels in the Costa Daurada, next to PortAventura amusement park. These 6 Las Vegas-style recreational centres are the main part of BCN World, a $6 billion project that will create the largest holiday resort in Europe.  The main promoter of the project, Veremonte, announced on Friday they will be presenting an offer for each of the six hotel and casino licenses in partnership with international investors, such as Chinese casino giant Melco and US multinational Hard Rock. Veremonte also added they have “everything ready” to launch construction.  All candidates must submit a minimum initial investment of €300 million, as well as a business plan to prevent money laundering. The tender will have 2 eliminatory phases and bids have to be presented before 25July.

Hutchison Port Holdings (HPH) intends to make the terminal it runs in Barcelona's Port the most productive in the world, according to Clemence Cheng, Managing Director of HPH Europe. Cheng said that in its first two years the terminal has exceeded all expectations.  The Chinese company will therefore increase its ''commitment'' to Barcelona and will effect the second phase of investment at a cost of €150 million, in addition to the €315 million already invested two years ago. The President of the Catalan Government, Artur Mas, participated on Friday in a ceremony to mark the kick-off of the new phase of construction and took the opportunity to claim the right of self-determination is also in order for Barcelona's Port to have maximum autonomy and not depend on decisions taken far away in Madrid.

The Catalan Parliament has finally approved the legal framework allowing the construction and the activities of the BCN World mega-resort, to be located next to PortAventura amusement park in the Costa Daurada. Now, the company Veremonte has the final green light to start construction, after it already had announced the first investors some months ago. Casino giant Melco, hotel brand Melià, US Hard Rock, Value Retail shopping malls and Investindustrial, which owns PortAventura, will participate in the $6 billion project. Furthermore, Ferrari announced it will build its first theme park in Europe there. BCN World involves 6 mega-casinos, large-size hotels, shopping malls, convention centres, theatres, golf courses, parks, a beach club, technology institutes and smart city developments.

The Catalan industrial sector received €1.365 billion of direct foreign investment in 2013, the highest amount since 2005, according to Barcelona’s Chamber of Commerce. This represents 52% of the total foreign investment in Spain’s industrial sector in 2013, while Catalonia represents around 19% of Spanish GDP. Across all sectors Catalonia received a total of €3.51 billion of foreign investment last year, 31% more than in 2012. In addition, the President of the Chamber, Miquel Valls, emphasized that foreign investment in Catalonia went mostly to the industrial sector and advanced services, while in the rest of Spain it mostly went to the recreational and real estate sectors. According to Valls, this indicates that international investors have identified Catalonia with “a new production model”, while this has not happened in the rest of Spain.

This weekend the Formula 1 World Championship comes to Catalonia once again thanks to a long tradition which blends the motor industry and competition. Catalonia has several industries related to cars and motorbikes. Aside from SEAT, Nissan, Honda and Rieju are important factories that supply components worldwide. Catalonia plays host to a packed motor sports calendar. The Formula 1 Grand Prix, the GP Motorbike Grand Prix, the World Rally Championship all take place in Catalonia among other endurance series, classic races and indoor or outdoor motorbikes championships. Moreover, Catalan drivers are competing in a lot of international categories. For instance, last year the three Motorcycle World Champions – Marc Márquez, Pol Espargaró and Maverick Viñales - were all Catalans.

Paul Allen, who founded Microsoft together with Bill Gates, has invested $40 million in the Barcelona-based Scytl, which is present in 35 countries and is one of the most innovative e-voting companies at world level. Allen will join Scytl's shareholders through his investment fund Vulcan Capital. Vulcan Capital's Manager Abhishek Agrawal will join the Catalan company's Board. Agrawal praised Scytl's "key role" in upgrading electoral processes in cooperation with governments throughout the world. In fact, in the last 10 years the Catalan company has carried out e-voting commissions in the US, Canada, Mexico, Ecuador, France, Norway, Switzerland, Bosnia, India, Iceland and Australia. Since 2006 the company led by Pere Vallès has made profits and grown by 70% each year.

The $6-billion BCN World has added another top international investor to those developing Europe's premier holiday resort, to be located next to the PortAventura theme park in Catalonia's Costa Daurada. Chinese casino company Melco, Spanish hotel network Melià and UK shopping centre developer Value Retail will build the first resort of the total 6. PortAventura, which will host Ferrari's theme park in Europe, will also build 3,000 additional hotel rooms. However, the company promoting BCN World, Veremonte, was waiting for the legal framework to be adapted in order to close deals with further investors. Last weekend, the Catalan Government and the Catalan Socialist Party (PSC) signed an agreement to adapt the rules and this Wednesday, Veremonte announced the Hard Rock deal.  

The Catalan economy is more open than ever and attracts record levels of foreign investment, according to new data published on Thursday by the Catalan Minister for Business and Jobs, Felip Puig. The minister celebrated the fact that for the second year in a row, the prestigious ‘Financial Times’ newspaper ranked Catalonia first region in continental Europe in foreign investment and job creation. Catalonia attracted up to 91 new business projects with an estimated investment of almost 3,000 million dollars (around 2,257 million euros) and the creation of 7,427 jobs. Gross foreign investment figures from the Spanish government put the figure at 3,500 million euros. Exports in 2013 were at record levels, and generated 58,359 million euros. There are now more than 49,000 companies selling abroad in Catalonia, a 6.8% increase in comparison to 2012.

American corporation One Distribution, which runs the skating brand Supra and Kr3w Denim, will move its European headquarters from Biarritz (France) to Barcelona. From the Catalan capital, One Distribution will also be managing its markets in the Middle East and Africa. The US company will occupy a 1,000 square metre building in Barcelona's 22@ technological district, in the Poblenou neighbourhood. Two showrooms will also be built to showcase One Distribution's products. According to sources from the Catalan Ministry for Business and Employment – which has assisted the company in setting up offices in Barcelona, 30 new jobs will be created within the first two years.

In Catalonia, direct foreign investment – excluding the stock-exchange –grew by 31.5% year-on-year to reach €3.51 billion in 2013, as indicated by a report from the Spanish Ministry of Economy and Competitiveness. According to the Foreign Investments Registry, with such a figure, Catalonia achieved its second best year in history, only surpassed by the €4.82 billion received in 2010. Besides, Catalonia accounted for 22.2% of all foreign investments in Spain in 2013, which amounted to a total of €15.81 billion, meaning 8.8% more than the previous year. The region of Madrid was the leading Autonomous Community in Spain for foreign investment attraction, receiving €8.64 billion, which is it to say 54.6% of the total amount. However Madrid's sum also represents a 7.1% decrease on 2012 figures.

Japanese multinational Olympus, specialized in optics and reprography, has unveiled its new headquarters for Spain and Portugal, aimed at becoming its main centre for Southern Europe. The new facilities are located in the business district of L'Hospitalet de Llobregat, a city literally attached to Barcelona, between the Catalan capital and El Prat Airport. The new offices occupy 2,500 square meters in a building on the Europa Square, close to the Fira de Barcelona. It will welcome 30 employees of the divisions of Consumer Product, Microscopy, Industry, and Medical Systems. Merging the headquarters for Spain and Portugal constitutes a step forward to gain weight on the Southern Europe market, said Olympus Iberia's CEO.

The Barcelona-based fashion enterprise announced that the French investment group Eurazeo will join the Catalan company after a €285 million injection. For this operation, Desigual will issue a share offer that will increase its capital by 10%, which will be entirely covered by Eurazeo. In 2013 Desigual posted a net profit of €129 million, which represents a 71% growth on the 2012 figures. The Catalan retail company's turnover reached €828 million, 18% more than the previous year, according to the Director General of Desigual, Manel Jadraque. On Tuesday, when presenting the company's results for 2013, Jadraque disclosed an EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) of €242 million, representing 29% of the sales figures.

Catalonia’s PortAventura and Ferrari have reached an agreement to build a new area dedicated to the illustrious sports cars, expanding the current amusement park. Thanks to an over €100 million investment, ‘Ferrari Land’ will open in 2016 with 75,000 m² at its disposal. Visitors will discover several attractions designed for fans of the Italian brand, including a vertical accelerator announced as the highest and fastest in Europe. ‘Ferrari Land’ will also host the first Ferrari themed hotel, which will offer 5-star accommodation in 250 rooms. The Italian company had already opened a dedicated theme park in Abu Dhabi named ‘Ferrari World’, which was met with much success among fans of the prancing horse. The new amusement facilities will be built next to 'BCN World', a $6 billion resort that will open next to PortAventura, with hotels, conference centres, casinos, theatres and golf courses.

E-commerce giant Amazon is studying the possibility of opening its first logistics centre in Catalonia, as advanced by some newspapers on Thursday. The new facilities could be located in El Prat de Llobregat, next to Barcelona's main airport. The centre could dispose of 210,000 m2 of work space and 151,000 m2 of land, making it larger than the Amazon centre in Madrid, according to ‘La Vanguardia’ newspaper. Works could start soon for the logistics centre to become operational by late 2015, with 3,000 employees expected to be hired. The Catalan Minister for Business and Employment, Felip Puig, regretted this early announcement as the company has not reached a final decision yet. Puig regretted the “reckless” move by the Spanish Secretary for Trade for disclosing the news and added that Catalan authorities continued to “work discreetly” to attract investments from foreign multinationals.