Fri, Apr 19, 2024
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
Alternative Market Briefing

Sluggish economy hurting M&A activity in Latin America, while asset managers, hedge funds see opportunity

Thursday, October 11, 2012

Bailey McCann, Opalesque New York:

New data from the Organization for Economic Cooperation and Development (OECD) shows a dramatic decline in the amount of international dollars flowing into Latin America for mergers and acquisitions. According to the report, international M&A activity in the region is expected to drop 30% or $36bn in 2012. Worldwide, the deal flow of international M&A is expected to decline even more - 36% in 2012.

The slowdown in Latin America was echoed by the International Monetary Fund (IMF) which recently released its Global Economic Outlook, and downgraded its view of the region. The IMF cut its GDP forecast for Brazil alone in half to 1.5%, with an uptick not on the horizon until 2013. That said, overall, the region is expected to post expansion in gross domestic product this year of 3.2%, bolstered largely by countries often left out of the Latin America story including Mexico and Chile.

The OECD report notes that the United States and Spain have been Latin America’s main sources of IM&A, accounting for 20% and 13% respectively, but economic uncertainty in the US and a debt crisis in Spain have dampened activity. In more recent years, Asian countries have filled this gap,......................

To view our full article Click here

Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. KKR raises $6.4bn for the largest pan-Asia infrastructure fund[more]

    Laxman Pai, Opalesque Asia: The New York-based global investment firm KKR has raised a record $6.4bn for its second Asia-focused infrastructure fund, underlining investors' continued appetite for private markets. According to a media release from the alternative assets manager, the figure top

  2. Bucking the trend, top hedge fund makes plans for a second SPAC[more]

    From Institutional Investor: SPACs aren't dead. At least not to the folks at Cormorant Asset Management. The life sciences firm, whose hedge fund topped its peers in 2023, is confident it will match the success of its first blank-check company. Last week, the life sciences and biopharma speciali

  3. Benefit Street Partners closes fifth fund on $4.7 billion[more]

    Bailey McCann, Opalesque New York: Benefit Street Partners has closed its fifth flagship direct lending vehicle, BSP Debt Fund V, with $4.7 billion of investable capital across the strategy. Benefit Street invests primarily in privately originated, floating rate, senior secured loans. The fun

  4. 4 hedge fund themes that are working in 2024[more]

    From The Street: A poor earnings report from Tesla (TSLA) has not hurt the indexes on Thursday. The decline in Tesla stock, which is losing its position in the Magnificent Seven pantheon, is more than offset by strong earnings from IBM (IBM) and ServiceNow (NOW) . In addition, the much higher-t

  5. Opalesque Exclusive: A global macro fund eyes opportunities in bonds[more]

    Bailey McCann, Opalesque New York for New Managers: Munich-based ThirdYear Capital rebounded in 2023, following a tough year for global macro. The firm's flagship ART Global Macro strategy finished the year up 1