Merger & Acquisitions rebounds in Argentina and greater boom is expected in 2025

[earlyretirement]

Merger & Acquisitions rebounds in Argentina and greater boom is expected in 2025

The number of mergers and acquisitions grew by 20% in 2024 driven by both local and international buyers.

The majority of the 95 transactions was in the oil & gas, technology, and mining sectors. And a new increase of M&A activity is expected in 2025.

The improvement in key economic statistic such as the fall in inflation, country risk falling, together with historic fiscal and trade surpluses has generated more interest for private investments, according to BACP (Buenos Aires Capital Partners) which is a boutique firm specializing in M&A.

Foreign buyers continue to dominate M&A activity in 2024, taking advantage of Argentina's wealth of natural resources and technological talent.

The 95 transactions represented a 4 year peak, surpassing the 88 in 2022 and 79 in 2023.

In the oil and gas sector, one of the largest transactions in 2024 was the purchase of ExxonMobil assets by Argentina's Pluspetrol, in a deal worth $1.7 Billion USD; in technology, the Dutch holding company Press paid $1.7 Billion for the digital travel agency Despegar and in mining the French company Eramet paid $699 million for a lithium project in Salta.

Repunta el M&A en Argentina y se espera mayor auge en 2025: lista de transacciones clave

La cantidad de fusiones y adquisiciones creció por 20% en 2024, y anticipan que el rebote de la macro impulsará los acuerdos este año. Descartan un impacto en los planes de las empresas a raíz de la crisis cripto de Milei

www.bloomberglinea.com

 

[Betsy Ross]

Merger & Acquisitions rebounds in Argentina and greater boom is expected in 2025

The number of mergers and acquisitions grew by 20% in 2024 driven by both local and international buyers.

The majority of the 95 transactions was in the oil & gas, technology, and mining sectors. And a new increase of M&A activity is expected in 2025.

The improvement in key economic statistic such as the fall in inflation, country risk falling, together with historic fiscal and trade surpluses has generated more interest for private investments, according to BACP (Buenos Aires Capital Partners) which is a boutique firm specializing in M&A.

Foreign buyers continue to dominate M&A activity in 2024, taking advantage of Argentina's wealth of natural resources and technological talent.

The 95 transactions represented a 4 year peak, surpassing the 88 in 2022 and 79 in 2023.

In the oil and gas sector, one of the largest transactions in 2024 was the purchase of ExxonMobil assets by Argentina's Pluspetrol, in a deal worth $1.7 Billion USD; in technology, the Dutch holding company Press paid $1.7 Billion for the digital travel agency Despegar and in mining the French company Eramet paid $699 million for a lithium project in Salta.


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Repunta el M&A en Argentina y se espera mayor auge en 2025: lista de transacciones clave

La cantidad de fusiones y adquisiciones creció por 20% en 2024, y anticipan que el rebote de la macro impulsará los acuerdos este año. Descartan un impacto en los planes de las empresas a raíz de la crisis cripto de Milei

www.bloomberglinea.com

Amongst all the gloom and doom talk it is good to get grounded information like this. Thanks for posting.

 

[Larry]

But another way you could look at it is that companies were desperate to escape Argentina. If there was so much potential why would Exxon want to exit Argentina? It could be looked as bearish that Exxon wanted out of Argentina.

 

[oil rush]

But another way you could look at it is that companies were desperate to escape Argentina. If there was so much potential why would Exxon want to exit Argentina? It could be looked as bearish that Exxon wanted out of Argentina.

Exxon was trying to get out for years. Milei getting elected finally allowed it. They saw bigger potential in Guyana where it already has big operations and more growth potential

Argentina is a brutal brutal place to do business in. It is almost impossible for a company to operate efficiently in Argentina. It provides too many operational risks.

Vaca Muerta never reached the expected production levels for Exxon. They can make more money elsewhere.

Also Exxon as an international company has to do everything by the book. They can't do anything deemed illegal where local companies can more easily play around and cook the books. Of course no one will admit that but local companies all do that but impossible with Exxon.

 

[import export]

Exxon was trying to get out for years. Milei getting elected finally allowed it. They saw bigger potential in Guyana where it already has big operations and more growth potential

Argentina is a brutal brutal place to do business in. It is almost impossible for a company to operate efficiently in Argentina. It provides too many operational risks.

Vaca Muerta never reached the expected production levels for Exxon. They can make more money elsewhere.

Also Exxon as an international company has to do everything by the book. They can't do anything deemed illegal where local companies can more easily play around and cook the books. Of course no one will admit that but local companies all do that but impossible with Exxon.

Very true. Argentina is hell on Earth when it comes to foreign companies operating in Argentina. My company did business there and it was an almost impossible game of local accountants pushing for maximum tax avoidance. The problem is for big public companies.

 

[Digital Nomad]

Very true. Argentina is hell on Earth when it comes to foreign companies operating in Argentina. My company did business there and it was an almost impossible game of local accountants pushing for maximum tax avoidance. The problem is for big public companies.

This is what my ex girlfriend's dad said. He owned 3 companies here. Crazy but he had 3 accountants working for them. He said if a company paid all the taxes they were legally supposed to pay they would not have anything left.