Panel SA: Mergers and acquisitions grow 52% in the country until November

There were 150 merger and acquisition transactions in the country in November, which places the month as the third best of the year, behind October and March, according to the consultancy Duff & Phelps.

The accumulated volume in 11 months is 1,455 transactions, 52% more than in the same period in 2020. In comparison with November last year, the increase is 23%.

According to Alexandre Pierantoni, director of the consultancy, the expectation is to close the year with at least 1,500 transactions, a record for the country. He points out that five years ago the annual average was only 800 transactions.

The upward movement in mergers and acquisitions is global — data from consultancy Dealogic point to a world record, with 63% more transactions. Here, the fall in interest rates in the first half of the year contributed to the result, which stimulated investors’ appetite for risk, and the wave of IPOs and follow-ons, analyzes Pierantoni. The diversification of sectors involved in the transactions, rather than the usual focus on technology, also helped to increase the numbers.

For next year, expectations are positive, but investors will remain cautious, according to the executive. “The increase in interest rates, the uncertainty about inflation, the government deficit and the electoral environment bring more uncertainty,” he says.

It can also be more difficult to attract foreign investors. “The world is recovering from the crisis, and Brazil is not being able to keep up, due to its internal problems”, says Pierantoni.

With Andressa Motter e Ana Luiza Tieghi