ENSISA and EMAP form a new company to be more competitive on international markets

Corporate
28/09/2021

The Mayor of Canillo, Francesc Camp, the Mayor of la Massana, Olga Molné and the CEO of Crèdit Andorrà, Xavier Cornella. / Photo: Ensisa

  • Crèdit Andorrà and the town councils of Canillo and la Massana sign a pre-agreement on a unified snow market model
  • The initial shareholding distribution is 40.09% by Canillo, 39.66% by Crèdit Andorrà and 19.9% by la Massana, with a progressive process of parity occurring over the next six years by the latter

This Sunday, the town councils of Canillo and la Massana and Crèdit Andorrà signed a pre-agreement for the creation of a new company that aims to integrate 100% of the shares of ENSISA and EMAP, the companies that operate the Soldeu El Tarter and Pal Arinsal ski resorts. The initial shareholder composition will be 40.09% by Canillo, 39.66% by Crèdit Andorrà and 19.9% by the la Massana corporation. This integration will bring significant benefits, both economic and in terms of cohesion with the business model, with the aim of being more competitive on international markets and eliminating internal competition, making Andorra a top-10 snow destination in the world.

This new historical alliance in the snow sector in Andorra will benefit the future sustainability of the two companies, increasing their revenue, saving on costs and improving the capacity to promote a global investment plan. This will allow them to work within a local scope of action combined with internationalisation. The aim of the new formula is to promote a more competitive offer all year round. In this regard, the strategic plan envisages investments of over EUR 60 million in the slopes of the Soldeu El Tarter sectors of Grandvalira, as well as an investment of EUR 36.4 million by 2022 to develop the ski connection project between Arinsal and Pal by means of two new slopes, a snowmaking network and a service building in the area.

This formula will facilitate the selection of best practices from the two models. One of the premises will be the separation of the Board of Directors from the executive team, with an objective selection of the management. The proposal is based on a unified local management integrating the mountain, services, administration and human resources departments, in combination with Grandvalira-NEVASA as the trading company in the future.

Share percentage

One of the aims of the La Massana corporation is to be an equal partner within the new corporate structure. To that end, mechanisms have been agreed to bring the initial share of 20% progressively up to 30% in the coming years.

The negotiations for the creation of the new company began last May and they were attended by the Mayor of Canillo, Francesc Camp, the Mayor of la Massana, Olga Molné, the CEO of Crèdit Andorrà, Xavier Cornella, as well as David Hidalgo, CEO of Grandvalira-ENSISA and the CEO of Vallnord Pal Arinsal, Josep Marticella.

Olga Molné stated that "in la Massana it was clear to us that we wanted a country project, with natural partners. And at the different meetings we have held, with both national and international investors, it has always been clear to us that the best option was an integration model with EMAP and ENSISA. That is why we have worked towards it and I am very pleased with what we have achieved, because this deal will bring benefits for all three parties and for the country”. The process that led to this agreement stems from the talks initiated by the town of La Massana to change its shareholding model.

For his part, Francesc Camp wanted to highlight that, beyond the synergies the new company will generate in terms of business, “we must take into account the international positioning that the synergies of continuing to host the Alpine Skiing World Cups in Soldeu El Tarter and the MTB World Cups and World Championships in Pal Arinsal will bring”.

Xavier Cornella explained that “everyone wins with this agreement. It should make it possible to unify skiing in Andorra under a single brand, honouring the spirit of the pioneers of Grandvalira. Crèdit Andorrà has always been committed to this economic sector, which is key to the country’s development".

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