Business Round-Up: Denmark plummets down global startup rankings - The Post

Business Round-Up: Denmark plummets down global startup rankings

But its plight cannot compare to Danske Bank, which faces another wave of compensation demands from disgruntled shareholders, as well as the Estonian government

Photo: StartupBlink
October 22nd, 2019 2:27 pm| by Roselyne Min

According to the recently published Startup Ecosystem Rankings by Startup Blink, Denmark has failed to keep its place in the top 10.

Denmark has tumbled from seventh to 16th down a rankings led by the US, the UK, Canada and Israel – the top four when the report was last published in 2017.

Denmark has slipped below Nordic rivals Sweden (7) and Finland (12), but remains well clear of Norway (46) and Iceland (58).

Copenhagen falling as well
Danish cities have also performed poorly, with Copenhagen slipping two places to 73rd and Aarhus falling 78 spots to 220. However, Odense has entered the top 1,000 list for the first time, taking 682nd place.

This year’s report has been generated using improved algorithms that allow the tracking of momentum and trends within the start-up ecosystem.

Danske Bank facing second wave of lawsuits – including one from Estonia
The outlook continues to look gloomy for Danske Bank in the wake of the money laundering scandal that erupted at its Estonian branch in 2015. Firstly, a second wave of lawsuits has been filed on behalf of institutional investors, taking the total number of plaintiffs to 232, now representing 22 countries. They include some of the largest public pension funds in the world and are seeking compensation of around 800 million dollars. The new suits were brought by US shareholder law firms Grant & Eisenhofer and DDRT, working with local Danish firm KLAR Advokater, and the cases were filed at Copenhagen City Court between October 16 and 18. Secondly, it would appear that the Estonian government is also seeking compensation. Its finance minister, Martin Helme, recently met with a New York law firm to discuss the country’s options.

Tesla to close its Copenhagen showroom
Tesla has decided to shut down its store near Kongens Nytorv in central Copenhagen and open one in the suburb of Hillerød instead. Traditionally, Tesla has chosen to open stores in high-profile shopping areas and been careful to locate itself near prestigious electronic brands, but a new global strategy favours having fewer, more humble locations.  The new location will enable more test drives and other services. Additionally, Tesla is building a new service workshop in Jutland, reports FDM.

Novozymes chief executive to leave the company in 2020
Danish biotech company Novozymes has decided to replace Peder Holk Nielsen, its CEO, following a series of annual result downgrades. He will officially depart next year. The poor prospects have resulted in Novozymes laying off 330 workers, of whom 123 are based in Denmark. Novozymes’ share price took a notable leap following the news of the CEO’s imminent departure.

Rekom now the largest operator of bars and nightclubs in the Nordic region
Rekom Group now owns over 100 bars and nightclubs in the Nordic countries, making it the region’s largest operator. The current owner Adam Falbert, the son of former Ekstra Bladet editor Bent Falbert, has been buying premises since he was 23 years old. Recently he acquired a total of 18 bars including the nightclub network NOX. According to Berlingske, the Rekom Group has doubled its annual revenue since 2015 to 573 million kroner.

DFDS signs Brexit contract
Danish shipping company DFDS has signed a six-month ‘Brexit contract’ with the British government in preparation for the UK leaving the EU. The British transport minister, Grant Shapps, has explained that the contract is to ensure necessary goods like vital medicines can come into the country. DFDS has not disclosed the value of the contract.