Buyers circle Latin America’s distressed assets
A wind turbine in Brazil. Brazilian wind energy company Casa dos Ventos has recently divested some of its wind farms. (Casa dos Ventos)
Economic strife, weakening currencies and the ongoing bear market have made Latin America’s energy sector a prime target for European and North American buyers, according to data compiled by law firm Baker & McKenzie.
The value of inbound mergers and acquisitions in Latin America’s energy and utilities sector was nearly $5.2 billion in Q1 2016 – 29% higher than for 2015 as a whole. Inbound M&A activity in the sector slumped from $29.5 billion in 2014 to just over $4 billion in 2015.