Fri, Jan 13, 2023
Brazil Transactions Insights – Winter 2023
Unlike the IPOs and follow-ons that took place in 2021, capital markets activities have slowed down in 2022, with only 18 follow-ons totaling BRL +55 bn (+USD 11 bn). There were no IPOs in Brazil in the period.
M&A activity in Brazil in 2022 reached a volume of 1,543* transactions (based on Kroll market research), representing a 5.2% decrease compared to the same period in 2021. The sectors with the highest representation are technology, financial institutions and energy. The decrease is due to conservatism, also, cash preservation returned to the main agenda of investors, in a context of greater investments selection with the basic interest rate in Brazil of 13.75% — and without a reduction bias in the medium term.
As IPOs (0) and follow-ons (17) have decreased offers in 2022, M&A activity has taken advantage of this scenario and should remain strong, but with significant challenges from the political scenario.
Mergers and Acquisitions (M&A) Advisory
Kroll’s investment banking practice has extensive experience in M&A deal strategy and structuring, capital raising, transaction advisory services and financial sponsor coverage. Duff & Phelps acquired Kroll in 2018 and unified under the Kroll brand in 2020.
Transaction Advisory Services
Kroll’s Transaction Advisory Services platform offers corporate and financial investors with deep accounting and technical expertise, commercial knowledge, industry insight and seamless analytical services throughout the deal continuum. Duff & Phelps acquired Kroll in 2018 and unified under the Kroll brand in 2020.
Fairness and Solvency Opinions
Duff & Phelps Opinions is a global leader in Fairness Opinions and Special Committee Advisory, ranking #1 for total number of U.S. and global fairness opinions over the past 10 years, according to Refinitiv cumulative data from 2013-2022.