The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Cross-border M&A: LatAm companies go deal hunting

Brazil highly attractive to developed market investors; South-south trend overstated

Two high-profile proposed deals between Portugal and its former colony have revealed some of the new characteristics of Brazilian M&A. First, Petrobras’s (albeit abortive) attempt to purchase Italian oil company Eni’s 33.34% stake in Portugal’s Galp Energia demonstrates that Brazilian companies are increasingly reversing the trend of Asian, European and US firms buying Latin American corporates, in particular in the energy and natural resources sectors.

The appreciation of local currencies, increased corporate cashflows and support from strong financial institutional investors have led M&A bankers in the region to report an increase in the number of Latin American companies looking to buy targets in North America and Europe.

The second deal, Portugal Telecom’s R$8.32 billion ($5 billion) purchase of 22.4% of Brazilian telecom operator Oi, shows the levels of valuations for Brazilian assets. It also points to the evolution of inbound M&A away from its previous almost myopic focus on commodity companies and the continuing strategic importance that companies based in developed markets place on Brazil and Latin America for revenue growth.

Core focus

Petrobras’s attempt to buy the stake in Galp Energia reportedly floundered on valuation but many analysts believe the Brazilian oil firm might be acknowledging that it has enough challenges domestically (

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree