WATCHING Ignacio Sánchez Galán in full flight, is a sight to behold. The charismatic chairman and chief executive of Iberdrola has a style which just could not be British.
Fluid in his delivery, the 57-year-old comfortably boasts during press conferences about turning Iberdrola – a substantial Spanish utility when he joined in 2001 – into the world's fourth-largest utility, after buying ScottishPower a year ago this we
ek.
Earlier this month the company brought in journalists from across Spain, and the UK, to hear Galán fend off questions over whether the company will be predator of prey in the consolidating European utilities sector. As always, Galán gesticulates expressively, from false modesty to beaming delight.
Where UK executives will talk up the capability of the management teams, Iberdrola supplied an official profile, gushingly declaring that Galán "has taken the company into a new era of corporate development and given it a leadership role in the world energy sector". Press releases are headed with a statement that the company's market cap is 450 per cent of what it was seven years ago. Galán is one of Spain's business superstars and he appears to revel in the light.
Galán has a charisma which would easily adjust to a full career in politics, and is mesmerising for some. In Bilbao, a Madrid-based journalist told me the event was "the press conference of the year". In fact there was little "news" in the presentation beyond Galán defending his and Iberdrola's performance and making thinly disguised references to the prospect of French EDF, making a hostile bid.
A less inspired Madrid-based journalist for a leading British newspaper dismisses the head of Iberdrola as "arrogant" but admits his political skills.
"He's seen as a bit of a hero. He plays the role of a buccaneer and a freedom fighter, which isn't really the case, but he is seen very much as politically neutral, which is unusual here and they love it."
Galán, who is married with four children, grew up in Salamanca in western Spain (where he still has a country estate), before moving to Madrid to study at the ICAI, a prestigious engineering school of the Jesuit-run Comillas Pontifical University, where he would later lecture in materials resistance.
From here he spent almost 20 years working at Tudor, a battery company, but emerged as a business figure in the early 1990s as chief executive of Industria de Turbo Propulsores, an engine and turbines company.
Here Galán secured hundreds of jobs for workers moving from the closing shipyards into aeronautics, winning the respect of unions and Basque politicians, a talent he has maintained throughout his career.
In 1995 he moved to Airtel Movil, one of Spain's first private telecommunications companies which, when sold to Vodafone in 2000, had almost seven million customers.
But it is at Iberdrola – he joined in 2001 and became chairman in 2006 – where he has become one of Spain's most powerful businessmen, winning a string of business accolades.
The takeover of ScottishPower, the Glasgow-based utility, has been arguably Galán and Iberdrola's greatest test. His demeanour would be dismissed as unbridled ambition or even megalomania were it to come from a British executive. But despite the cultural differences, his foray into the UK has been hugely successful.
ScottishPower should be seen in the context of another purchase of a strategic UK company by the Spaniards: Ferrovial's takeover of BAA has been, from a public relations standpoint, an unmitigated disaster.
Galán himself claims the takeover of ScottishPower "should be a case study for business schools", delivered in quick time, with few job losses and as ScottishPower increases profits.
His reception from staff has also been welcoming, as fears of a company culture shock receded. Staff in Glasgow were amazed at Galán's ability to remember names and faces after a single meeting, as well as his ability to communicate strategy. One described Galán as "the antithesis of Ian Russell", the former ScottishPower chief executive who was sacked in early 2006, said to be known for drawn-out decision-making.
The success with ScottishPower culminated in an embrace – literally – of First Minister Alex Salmond. Initially frosty, the SNP said in early 2007 that the deal was not in the best interests of Scotland.
Spain is a nation of devolved politics, and companies from the Basque region know regional politics better than most. When its interest in ScottishPower was revealed, Galán quickly sent representatives to visit all of Scotland's major political parties to forge relationships. A year later, Iberdrola reaped what it sowed. Facing the prospect of a hostile approach from France's EDF, Salmond leapt to the defence of the ScottishPower owners and threatened competition proceedings if the deal were allowed to go ahead.
A spokesman for Salmond insists his relationship with Galán is simply a reflection of assurances delivered. Iberdrola promised minimal job losses, that the Glasgow headquarters would be maintained and heavy investment in renewable energy.
But such a relationship is not typical. We are, for instance, unlikely ever to see RBS chief executive Sir Fred Goodwin, who led the break-up of Dutch bank ABN Amro, embracing the Netherlands' prime minister, Jan Peter Balkenende.
Salmond's people have faced questions over the defence of Iberdrola, and refuse to discuss the friendship.
Whatever the case, Galán appears to have played a masterstroke in the way that the likes of Goodwin can only dream of. Perhaps when UK business schools start using the takeover of ScottishPower as a case study, they will use Galán as a template of presentation and politics, something UK executives often seem so weak at.
60 Second CV Born – Salamanca.
Family – Married with four children.
Most admired person – Mahatma Gandhi.
Speaks – Spanish, English, French and Italian.
1991-1995 – Director general of engine and turbine group, Industria de Turbo Propulsores.
1995-2001 – Chief executive of telecommunications group Airtel Móvil, until its sale to Vodafone.
Other current roles – Chairman of Desafío Español, Spain's entry to the America's Cup sailing regatta. The syndicate is sponsored by Iberdrola. A director of the Guggenheim Museum Foundation in Bilbao.
