The US market is interested in Latin America
09/10/2014
Diego Gutiérrez
The US market is interested in Latin America
According to TTR Record data, American investors are increasingly active in Latin America. Since 2012, the number of US investments in the country has gradually increased from 109 deals in 2012 to 140 in 2014. The number of divestments has also grown by 53% in the last two years, from 28 deals in the first half of 2012 to 60 in the first half of 2014.

 

Predominance of M&A transactions and acquisitions and the distribution sector

According to TTR, of the 140 US investment transactions in Latin America in the first half of 2014, 84 were in the form of M&A, compared to other forms such as venture capital and private equity.

In terms of the preferred sector for the investors The distribution sector leads the list with 20 transactions, followed by the financial sector and the internet sector.

"In the latter sector, an operation has been carried out that stands out for its size, Tiger Global Management LLC talked inverted $ 500M for stake in Brazilian online retailer B2W Companhia Digital"Says Diego Gutierrez of Abra Invest

Highlights of operations in the first half of 2014

Among the most important transactions was the purchase of the Chilean pharmaceutical company CFR Pharmaceuticals by Abbotfor a price of €2,116M. The closing of the buy The acquisition of CFR Pharmaceuticals, expected by the end of 2014, will make Abbott one of the ten largest pharmaceutical companies in Latin America, expanding the company's presence in fast-growing markets.

Also in June 2014, the coatings company PPG Industries announced an agreement for the buy of its Mexican competitor Consorcio Comex. With this acquisition, PPG Industries strengthens its business in Mexico, which has been very weak until now. The amount of this transaction is $2300M.

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