The demise of Abengoa, the Spanish engineering and renewable energy firm, would have been a massive blow for its creditor banks. So the government and the banks have been working on a solution since the company entered pre-insolvency proceedings. The deal agreed this week hands over the majority of Abengoa’s capital to its creditors.
Siemens has identified three key points which could delay or even thwart the deal it is negotiating with Spanish firm Gamesa. The most important is resolving the problem of eliminating competition in the industry, which a tie-up between the two companies would provoke. This issue could cause the transaction to be blocked.
F. Barciela / F.G. Ljubetic | The bios about Carlos Slim, the third richest man in the world according to Forbes, are very clear about the origins of his fortune. He made the most of his money during the peso crisis by acquiring several blocks of shares in the biggest Mexican companies at a bargain prices. This is how he will acquire FCC, one of the biggest Spanish construction firms, for just…7.6 euros per share.
Spain’s three biggest utility companies, Iberdrola, Endesa and Gas Natural, earned 30% less in 2015, recording a combined profit of € 5.0009,6 billion in 2015, 29.6% less than a year earlier.
The figures issued by the Bank of Spain have confirmed what we could already see with the naked eye; namely that Spaniards are losing their fear of the future and spending again. After several years of austerity, the consumers in Spain have gradually loosened their purse strings over the past year. And to such an extent that consumer spending rose 3.1% in 2015, almost tripling the 1.2% registered a year earlier.
BARCLAYS | Spanish airport operator AENA, the world’s largest by number of passengers, has reported a strong end to 2015 driven by a combination of strong passenger growth, tight control of opex and lower-than-expected financing charges. Aena’s IPO in 2015 was Spain’s biggest since the financial crisis.
MADRID | Global GDP showed a moderate growth recovery in the second quarter. In Spain, forecasts point to GDP growth accelerating again to 1% Q0Q, one of the highest rates in the eurozone.
Spain’s public deficit ranks as the highest one in the eurozone, with the exception of Cyprus. Up to now, a set of exceptional circumstances has allowed for a stance of benign neglect at visible cost. But dangers loom ahead if fiscal rectitude is not firmly enforced.
MADRID | The Corner | EU posts marginal growth stats, but the figures are indicative of slow pace of recovery.
MADRID | Sean Duffy | Yesterday brought positive data on the housing front and on job creation, with Spanish bank BBVA prediciting the economy will reap considerable benefits from the falling oil price.