Summary of the Fundesem and European University Negotiations
The initial assessments indicate that Wednesday’s consensus supported the board of directors’ proposal to explore feasibility for a business school alliance. Prospective collaboration would involve European University sharing facilities and reinforcing management. In this scenario, the private center shows a readiness to inject 1,250,000 euros to the foundation, enabling Fundesem to cover half of its outstanding debt and pursue a restructuring for the remaining balance.
In return, European University would gain access to 400,000 euros per year to use Fundesem facilities for teaching four degree programs in socio-health fields. There is an initiative to invest in essential materials and technology to upgrade the programs and better train students. Overall, the private partner is contemplating an investment totaling around 12 million euros to ready the building and related infrastructure for operation.
As a condition of this financial involvement, those in charge of the private center would obtain daily management control over Fundesem. This arrangement would position the private entity to hold a majority stake in the foundation and appoint three members to the foundation’s board of trustees, the highest governing body. They would also nominate the center manager with the aim of advancing professionalization. Fundesem’s chair and vice-chair would be selected from a circle of prominent national business leaders, as has been customary.
During the meeting, senior executives emphasized that the board of directors holds the decisive power while the governing council focuses on implementation and administration of the center.
The absence of the Chamber of Commerce chair, Carlos Bath, from this Wednesday’s meeting was noted. Earlier discussions had been critical, with calls for the resignation of Sánchez Butrón. Critics questioned granting substantial Fundesem facilities to the European University, citing potential future relocation of the Chamber’s headquarters and other concerns.
With the board of trustees approving the European University proposal, attention shifted to formal approvals from key public administrations. The Alicante City Council, which owns the land where the building sits, and the Valencia Institute of Business Competitiveness Ivace, responsible for the property’s construction, were identified as essential authorities. Ivace, as an autonomous body under the Department of Sustainable Economy, currently holds the main debt tied to the facility, amounting to 1,656,000 euros in rent, which accelerates ongoing negotiations.
Fundesem eventually faced bankruptcy proceedings, and European University withdrew from the proposed deal.
According to sources familiar with the matter, the bankruptcy administrator would be responsible for submitting the bid to both administrations, which have remained cautious and angling to avoid premature commitments for the time being.
The local authorities, including the Alicante mayor, commented that it would be imprudent to offer premature judgments on a plan still awaiting creditor and judicial approval. The mayor underscored that Fundesem has pursued a legal insolvency process and that the final decision rests with the courts rather than public administrations. Those involved indicated that comments should wait until formal proposals are communicated before any public statements are made by the Conselleria led by Rafa Climent.
Following approvals from Ivace and the City Council, Fundesem’s feasibility plan would be converted into a formal agreement proposal and put to a creditors meeting for voting.