Once again, the Latin American transactional market has experienced a contraction. According to the most recent report from TTR Data and Datasite, up to November a total of 2,528 mergers and acquisitions have been registered, between announced and closed, for an aggregate amount of US$ 73,924 million,

These figures represent an 18% decrease in the number of transactions and a 9% increase in their value, compared to November 2023.

In November, a total of 181 mergers and acquisitions were recorded, both announced and closed, for an aggregate amount of US$ 7.824 billion.

Speaking by country, according to data recorded up to November, by number of transactions, Brazil leads the ranking of the most active countries in the region with 1,474 transactions (a 23% decrease) and an 11% increase in the capital mobilized (US$ 43,145 million). Chile follows in the list with 310 transactions (a 17% decrease) and a 26% increase in their value (US$ 9,026 million), compared to November 2023, but it moves up one place in the ranking, displacing Mexico in third place in the ranking.

Mexico, for its part, has dropped in the ranking, with 397 transactions (a 10% decrease) but with a 20% increase in the capital mobilized (US$ 15,146 million). Colombia, for its part, is ranked fourth in the ranking, with 243 deals (a 5% decrease) and a 31% increase in the capital mobilized (US$ 6,391 million), in interannual terms.

Meanwhile, Argentina remains in fifth place in the ranking and records a 54% increase in its mobilized capital (US$ 3.895 billion), but presents 187 transactions (a 7% decrease year-on-year).

Finally, Peru increased its activity and recorded 158 transactions (an increase of 19%), making it the only country with positive results in the number of transactions. However, it recorded a 49% decrease in its mobilized capital (US$ 3.612 billion).

In the cross-border field, the investment appetite of Latin American companies abroad stands out in November, especially in Europe and North America, where 77 and 63 transactions were carried out, respectively. Meanwhile, the companies that have carried out the most strategic transactions in Latin America also come from North America and Europe, with 381 and 295 deals , respectively.

In addition, in the ninth month of the year , a total of 169 Private Equity transactions were recorded for US$ 5,724 million, which represents a downward trend in the number of transactions (-5%) and a 34% decrease in the capital mobilized, compared to the same period of the previous year.

The Venture Capital segment, for its part, has recorded a total of 565 transactions up to November with an aggregate value of US$ 4,731 million, which implies a negative variation of 37% in the number of transactions and a decrease of 6% in their value, in interannual terms.  

In the Asset Acquisitions segment, 466 transactions have been recorded up to November, for a value of US$ 14,487 million, which represents a 6% increase in the number of transactions and a 63% increase in their value, compared to the same period in 2023.

Source: América Economía - Chile