Business Services Industry

Spanish oil giant's coup presages merger flurry.

Knight Ridder/Tribune Business News, November, 2004

By Richard Orange, The Business, London Knight Ridder/Tribune Business News

Nov. 7--A boardroom coup at Spanish oil giant Repsol 10 days ago has signalled the start of Barcelona's long-awaited attempts to seize control of Spain's energy sector.

At the end of last month, the city's great savings institution La Caixa put its own man, Antonio Brufau, in the chair of Spanish-Argentine oil company Repsol. The move is significant; in business, Catalan power means La Caixa. The privately-held bank is intertwined with the regional government and politicians make up much of its board.

That power has increased because for the first time since the start of Spanish democracy in 1977, the same party is in power in Madrid and Barcelona. With the...

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