Portugal Business Leader Moving His Family Holding Company to Holand Due to Uncertainty over Euro

I’m concerned that Chaebols could do something like this as things unfold. That is one of the reasons why big-business centered economic structure is detrimental to the health of the economy.

From Reuters:

Soares dos Santos, who is chairman of the board of Jeronimo Martins, caused a stir in Portugal this week when it emerged that his family holding company that controls the country's second largest retailer had moved to Holland.

Soares dos Santos told weekly Expresso the decision to move the holding company, which holds 56 percent of Jeronimo Martins, was motivated by a desire to guarantee investments and avoid "fiscal instability" in Portugal.

But it was also because of uncertainty over Portugal's continued existence in the euro.

Portugal is currently going through tough austerity under a 78-billion-euro bailout by the European Union and IMF which has sent the country into its deepest recession in decades.

Soares dos Santos said the decision to move the holding to Holland had also been motivated by lack of financing by Portuguese banks, which have been hit hard by the euro zone debt crisis.

http://www.reuters.com/article/2012/01/07/us-portugal-business-leader-says-uncerta-idUSTRE8060C620120107