The Government authorized the purchase of 100% of Agbar by the French group Veolia with certain conditions. According to the official document to which this newspaper has had access, the government green light, which occurred in January 2022, obliges the new owner, first of all, to “maintain the registered office and the effective headquarters of management and direction of Agbar in Spain”, at least for the next five years. In reference to employment, the approval states that "during the next four years, the operation will not have a negative impact on employment."
And, the most relevant aspect in relation to the controversy over Agbar's activity, "the maintenance of an investment policy in projects in Spain", and emphasizes that "any divestment decisions adopted cannot jeopardize the good operation of the regulated activities currently carried out by the group”, in reference to the water supply service concessions in more than 1,100 municipalities.
Finally, the aforementioned purchase authorization also obliges the new owner during the five years to “maintain the projection of the Agbar group, as a comprehensive provider of services linked to water and the environment, particularly in Latin America,” where it develops a very relevant concession activity.
Aguas de Barcelona, one of the most relevant subsidiaries of Agbar, issued a statement this Monday in which it reiterated that it “continues with its investment plan to comply with the execution of the works provided for in Law 9/2023 on extraordinary measures to carry out in the face of drought (...) in full coordination with public administrations”, in line with what was published this Monday by this newspaper.
The information referred to the conflict between the management of Agbar and its shareholder Veolia over the consequences of these investments and other maintenance in all the networks it operates in Spain on the profitability of the group contemplated in its strategic plan until 2027, called Green up.
Sources close to Veolia have denied the existence of a conflict between this group and its subsidiary in Spain and have assured that the investments approved by the group demonstrate its commitment to Agbar. Faced with criticism that its strategic plan clashes with the guidelines of its new strategic plan, they have pointed out that “Veolia's strategy is based, among other aspects, on the solidity of the activity that the group has in urban water management, betting for resilience and action in the territories in which it is present.”
Aguas de Barcelona is 70% owned by Veolia, 15% by Criteria, the investment holding company of the La Caixa group, and the remaining 15% is in the hands of the Barcelona Metropolitan Area (AMB). Its non-executive president is Ángel Simón, who has been the CEO of Criteria since last February.
