agm presentation. "what about spain"

15,16 &17 Novemberwww.agmabogados.com

www.agmabogados.com 15,16 &17 November

What about Spain?


Where is Spain now? Where we are going? Opportunities:• Fields• Sectors

How we can work together?

Introduction


www.agmabogados.com

MACRO 2012…•GDP 1.029.020M€•GDP/ per cápita 22.300€

SOME “BAD NEWS” (2012)•PUBLIC DEBT 86% GDP•DEFICIT -110.000 M€•UNEMPLOYMENT RATE 26%

SOME “GOOD NEWS” (2013)•RISK PREMIUM (November)230 •P.E.R. EXCHANGE STOCK + 16,46%•AGENCIES’ RATING UP Fitch, Moody’s


www.agmabogados.com

INVESTMENT APPROACH

Q1+Q2 2013 TO SPAIN…

TRADE GAP: net foreign investment = + 6.629 M€.

EXPORT: 138.583 M€. Highest since records run (1971).

EXPORT ABROAD UE: +13% increase, 38% total, mainly to Near East & Africa.

TOP INVESTORS: France, Luxembourg, Holland, UK & USA.

SECTORS: Financial & Insurance, Manufacturing & Real Estate.

SPAIN’S SIGNIFICANCE

3rd investor in South America, just next to USA & Holland.

11th º World Investor: 640 M$

In the past, Multinational companies. Today, SME’s time

Facing opportunities


www.agmabogados.com

• Deals 2011+2012 > than 2005-2010 altogether.

• Most Funds coming from UK & USA. Focused on Real Estate.

• Companies all over EU beginning to take strong positions.

• Distress = Trust in company/country

DISTRESS


www.agmabogados.com

• Many companies either in bankruptcy• Or with financial problems• This is the moment to buy.• Attractive for investors:- Very low price- Even just assuming the debt (renegotiated) - Legal system configurated to enable purchases- It permits to purchase production unities and assets

from a company getting ride from debts attached to the Company

- Once acquired, redundancies are cheaper…

DISTRESS


www.agmabogados.com

REAL ESTATE

•SAREB manages close to 60.000 M€. Discounts from 30% to 70%.•Expected ROI clearly higher than most of EU countries due to low prices.•Extensive portfolio: hotels, residential, retail, industrial,…• Big Funds (Blackstone,…) overflying. H.I.G. bought a 100 M€ pack.


www.agmabogados.com

Some statistics of 2102

•Private Equity•2,300M invested •40% of invested funds to Tech companies (25% the previous year)•72% of transactions to Tech companies•1st semester 2013: same tendency•Venture Capital•Smaller amounts (up to 500,000€) •86% of the invested amounts (136.9M) to Tech companies.•305 transactions

Venture Capital / Private Equity


www.agmabogados.com

Some legal aspects:

• Same structure as customary in many countries1.Cash in/ cash out2.Protection to investors:

a. Veto rights in GSM and Boardb. Permanence/Non Compete clauses for Management

a. Good leaver/bad leaver

c. Transfer of shares: flexibility to agree on this pointd. Exit:

a. Drag alongb. Tag Alongc. Liquidation Preference

Venture Capital / Private Equity


www.agmabogados.com

The fever of start-upsBarcelona is becoming the center of Tech start-ups in southern EuropeMany deals in progress.Starting up to 500.000€Then the company grows…Big margin of profit in cash outAlso foreign investorsAgain: a great legal system to protect investors

Venture capital: the power of start-ups


www.agmabogados.com

Facing Opportunities

“COOL “SECTORS

TICBIOPHARMA + MEDICALFOODTOURISM


www.agmabogados.com

Facing Opportunities

• Treeveo announces the closing of its “All Saints” investment round: the first in Spain

• Entrepreneurs using the “All Saints” method deliberately seek to raise capital in smaller tickets from a larger number of investors: “The Saints”.

• …this investment round was managed and supported by Carlos Martinez, Head of M&A-Private Equity of AGM Abogados in Barcelona: www.agmabogados.com

• http://es.wayra.org/es/wayraweek/espana-barcelona-2013


www.agmabogados.com

HUB Barcelona

• TIC: 22@ + MOBILE WORLD CONGRESS• MEDIA: BARCELONA MEDIA PARK located at 22@• BIO + LIFE SCIENCES : Science Park + Biomedical Research Park• ENERGY: home to European Agency FUSION 4 ENERGY (ITER’s

project)• DESIGN: Design Hub Barcelona (DHB) + Barcelona Design

Cluster• AEROSPACE: Aerospace Technological Center (CTAE)• SMART CITIES• LOGISTICS: HARBOUR (Hutchison) + AEROPORT (Top Ten Europe)• AGROALIMENTARY: Focused on Premium Products• TOURISM: 7,5 M visitors, only 22% Spanish. 4th city in Europe • MEDICINE & HEALTH: BARCELONA MEDICAL CENTER (20

Companies)


www.agmabogados.com


www.agmabogados.com

- The crisis is gone- Spain is holding foreign investors- Spain is investing abroad- Perfect moment to do business with Spain- We can generate the deal business together.

Our tools for you:- AGM Corporate Finance: brokers- Partnership with CW Downer worldwide- Paris: our own office. - China: representative office and

partnership with consultancy-brokers Addseco

- Let’s work on it!

Conclussions


www.agmabogados.com

Contact

BARCELONA

Pau Claris, 139 Principal 08009Ph.: +34 93 487 11 26 [email protected]

MADRID

Pº Castellana, 114 Esc. 1 6º 2ª 28046 Ph.: +34 91 562 13 86 [email protected]

PARIS

9, rue Boissy d’Anglas, 75008Tel: +33 1 44 90 80 [email protected]

agm presentation. "what about spain"

Business