After a year marked by political uncertainty, inflation and high interest rates, Latin American entrepreneurs are setting their sights on 2024, a year that presents the initial challenge of a slowdown in the global economy and the headwinds that this entails for business.

Mergers and acquisitions (M&A) activity faltered this year, registering a total of 2,854 transactions to November, which represents a decrease of 14.47% compared to the same period of 2022, with an amount of 67,009 million dollars, indicating a decrease of 26.04%, according to data provided by the specialized transaction tracking platform, TTR Data.

The institutional spokesperson of TTR Data, Marcela Chacón, commented in an interview with Bloomberg Línea that “so far as 2023, it is clear that the global M&A market has adopted a cautious and selective stance in its investments. Despite these challenges, investors are still optimistic about the investment landscape in Latin America.”

Despite the current social and political challenges, the director of Mergers and Acquisitions at the law firm Gómez-Pinzón, Lina Uribe, said that “investors have shown cunning in adapting to the new circumstances.”

Jaime Trujillo, partner in Mergers and Acquisitions at the international law firm Baker McKenzie, told Bloomberg Línea that although 2023 was a year marked by a decrease in mergers and acquisitions activity, relevant transactions were carried out, such as those involving the companies of GEA (Nutresa, Sura and Argos), Almacenes Éxito and Genfar in Colombia.

Source: Bitfinance News (VE)