Mergers and acquisitions in Latin America May 2014
26/06/2014
Diego Gutiérrez
Mergers and acquisitions in Latin America May 2014
May has seen an increase in the volume of investment in the M&A transactions and acquisitionsThe number of new registrations in all countries, with the exception of Mexico, which has maintained the same number as in May 2013, continued to fall.

Most important operations

Among the most noteworthy transactions of the month, in terms of value, were the purchase of the Mexican Grupo Bimbo  of Canada Bread Company Limited for $1.655M and the purchase of Canada Bread Company Limited for $1.655M. Abbott Investment Luxembourg of the Chilena CFR Pharmaceuticals$2900M and a debt of $430M.

"With this purchase, Abbott aims to strengthen its presence in the Latin American pharmaceutical market, with around 70% of the projected global pharmaceutical growth in the coming years expected to come from emerging markets driven mainly by branded generics," said Diego Gutierrez, an expert in alternative financing for the group. Abra Invest.

In addition, several operations have also been carried out in countries where there is little activity, such as Peru where  Unacem has bought the cement company Lafarge Ecuador for $545M. This purchase is aimed at finding new markets that represent new engines for growth in the face of the slowdown in the construction sector in Peru.

Most active countries

By country and by number of transactions, Brazil continues to lead with 55 transactions, followed by Mexico with 13 and Argentina with 8.
However, by volume of investment, Brazil is still in first place (1TP2Q12,332M), but in second place is Chile (1TP2Q 4,009M).

Interest of Asian companies in Latin America

En el ámbito cross-border, en mayo se verifica  el interés de las compañías asiáticas en la región, protagonizando cuatro acquisitions en América Latina, como la compra  realizada por la japonesa Prime Polymer which has taken over the 50% from Brazil's PAC NE, a subsidiary of Produmaster.

"Among the incentives to invest in Latin American countries are Brazil's new industrial policy, Mexico's energy reform and Cuba's special economic zones," says Diego Gutierrez.

Other posts that may interest you

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