The Argentina Investment Report for January 28, 2016
ATLANTA – Coca-Cola plans to invest US$1 billion in Argentina over the next four years on bottling and distribution infrastructure. The CEO of Coca-Cola, Muhtar Kent, announced the planned investment in a meeting with President Macri during the recent World Economic Forum in Davos. The world’s largest beverage company has been in Argentina since 1942 and currently has 8,500 employees nationwide. (CNN Expansión)
DAVOS – In an interview with Bloomberg Editor-in-Chief John Micklethwait, President Macri said Argentina anticipates US$20 billion of new foreign investment this year. “Argentina has decided to take its place in the global landscape. We think that we have an important role to fill. When you talk about food security, we are the second country in the world in terms of food production per capita, and we can increase that by 50% in five years,” said Macri (Bloomberg)
LONDON – Argentina and Great Britain may be ready to write a new chapter of stronger bilateral relations following the meeting of Mauricio Macri and David Cameron in London last week. “Both men agreed there was an opportunity to embark on a new chapter of relations between our two countries,” according to the official press release which lists Argentina’s economic reform and expanding investment as key talking points. (Reuters)
BUENOS AIRES – Brazilian investment is once again flowing into Argentina especially in the food supply and manufacturing sectors. The recent devaluation of the peso and economic weakness at home is prompting more Brazilian companies to search for merger and acquisition candidates in Argentina, especially in sectors like auto parts, furniture, timber and oil & gas. (Perfil)
DAVOS – Speaking at the World Economic Forum, the CEO of Renault-Nissan, Carlos Ghosn, confirmed that the automaker will invest US$600 million in its Santa Isabel, Cordoba plant where it currently manufactures the Fluence, Clio Mio and Kangoo models. The new plant will manufacture three pick-up models beginning with the Nissan NP 300 Frontier in 2017 and the Renault Alaskan in 2018. (Clarin)
BUENOS AIRES – Despite a challenging environment, new hotels continue opening in Buenos Aires in anticipation of a rebound in tourism in the second half of 2016. “Buenos Aires is at its worst moment in terms of demand and average price, but this is not a short-term investment,” said Arturo Navarro, president of Aadesa Hotel Management Company, at the inauguration of his company’s new 299-unit CH Madero Urbano Suites in Puerto Madero. (Cronista)
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