April 2010 9 out of 10 investors - Sario

Investment News
April 2010
Nine out of ten investors would come to
Slovakia again
92 percent of foreign companies operating in Slovakia
would repeat their investment intent also in current
conditions – this is the outcome of the opinion poll
conducted in 114 German, Austrian and French companies.
According to the opinion of the addressed investors,
Slovakia is characteristic mainly by the membership
in the European Union, labor force willing to work at
relatively moderate cost and calculable tax system. In
the comparison with other countries of the Central and
Eastern Europe, the poll participants value the Slovak
Republic as the most attractive investment location.
Nevertheless there are also reasons for criticism. German,
Austrian and French companies can see the unfulfilled
tasks of the politics especially in the field of law
enforcement, fight against corruption and infrastructure
development.
Is Sony going to Taiwan?
The Nitra plant of Japanese electronics producer Sony
will go to Taiwanese company Foxconn. On Wednesday
Sony announced the agreement of both parties, based on
which Hon Hai Precision Industry (which operates under
the trade name Foxconn) should become the majority
owner of Sony Slovakia Ltd. After the completion of the
transaction Hon Hai Group will own roughly a 90% stake
in the Nitra plant and the Sony Group will keep around
10%. Since the new plant will assemble electronics for
other makers as well, the plant’s payroll is expected to
increase by 500 to 3,000 workers.
Five new in Lipany
Five companies are gradually launching production
at the Lipany industrial park. The company Teprofa
Slovakia already settled in the park last year and in its
machinery production currently employs 20 people.
Local company Aluminium System, which wants to launch
production in 2H of 2010, will also operate in the same
industry. Roughly at the same time Polish company
P.P.U.H. should launch the production of concrete and
products from concrete, as well as the firm ICLA, which
will deal in mixing colors, paints, putties, and produce
abrasive materials. The industrial park will also have a
photovoltaic power plant that will be built by Tecoma
Travel Agency. All of these investors will employ roughly
50 people in total.
Touareg Hybrid from Bratislava
The Volkswagen (VW) plant in Bratislava launched
production of the Touareg Hybrid model. The
Bratislava plant is the only place where this SUV will be
produced. VW Slovakia thus became the first carmaker
in Slovakia to launch serial production of hybrid vehicles.
Last year VW Slovakia invested €199m into preparing the
production of new car models. This was a 150% increase
y/y. VW is also preparing the production of the New Small
Family model, which should be launched at the Bratislava
plant as of next year.
Belgians are aiming to The East
Belgian companies Eutraco (logistics) and Jonckheere
(metal production) should employ almost 200 people
in eastern Slovakia in total. Jonckheere is already active
in Kosice. It plans to expand production and hire 63
workers, confirmed the head of advisory firm for new
foreign investors Eastern Investment Centers (EIC) Dany
R. E. Rottiers. At the moment, the EIC is in talks with 22
foreign investors and another six seem potential. Roughly
80% of the 22 companies, which could together create
7,000 jobs and invest €0.5bn, are heading to the east of
the country.
New halls in the Myjava industrial park
CPN Invest, Slovak firm of Belgian owners, plans to
launch the construction of a plant this year in the
Myjava industrial park Javorinska for another firm of
the same owners, Eurofima, which produces municipal
goods. To date it operates in rented premises in Brezova
pod Bradlom and employs 20 people. It should move
into the new premises by the end of this year. In the new
hall the number of employees should gradually increase
to 100. The new hall will cost €2m, and will harbor
the production of municipal goods from metal such as
benches, shelters, and bus stops. The next company
that will build in the Myjava industrial park this year is
the Slovak subsidiary of a Spanish automotive supplier
Altcam. The parent company gained new projects and
orders for the Slovak plant. It plans to launch the
construction work on the new plant for roughly €1.5m in
June.
Investment in the safe
The Slovak branch of Austrian Wertheim began the
construction of a new plant in industrial park in
Dunajska Streda last week. By the end of September, it
aims to complete two new production halls and a storage
facility worth €5m, and will spend another €1.5m on
technologies. The firm will produce safes and other bank
equipment in the new plant, assortment that it already
assembles in its current plants in Dunajska Streda and
Modra. Its largest customer, which accounts for 80% of
output, is Swiss Schindler. At present, Wertheim employs
460 people in Dunajska Streda and Modra, and the new
plant will add 70 new jobs.
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