Mergers and acquisitions in Brazil are expected to gain steam by the year-end as economic and political risks ease, helping companies and private-equity firms scouring for takeover targets focus on tapping the country's long-term potential. Three years of sub-par economic growth, a weaker currency and declining profits have driven asset prices lower and boosted the appeal of takeover targets. But some acquisition hunters could remain cautious ahead of a presidential election in October, making it harder for offers and offers to converge before then, bankers said.Companies announced about $28.328 billion worth of deals in Brazil in the first half of the year, up 34 percent from $21.006 billion in the same period in 2013, a quarterly Thomson Reuters report on M&A activity showed on Wednesday. About 221 deals have been announced so far this year, down from 303 a year earlier.Strategic buyers are brushing caution aside and seeking greater exposure to Brazil, some in search of a specific asset, others to tap the country's massive consumer base and need for infrastructure. Buyout firms are also on the prowl, eyeing targets in sectors such as financial services and technology, while also looking to exit some investments."There are sectors in which the only way for some players to grow in Brazil is through M&A," said Fernando Iunes, global managing director for investment banking at Ita� BBA. "Sooner or later, these players will purchase assets in Brazil to avoid seeing their cost of opportunity grow."
Thomson Reuters Corporation (Thomson Reuters) is a provider of information for the world?s businesses and professionals. Shares of TRI traded higher by 0.25% or $0.09/share to $36.45. In the past year, the shares have traded as low as $32.36 and as high as $38.73. On average, 812392 shares of TRI exchange hands on a given day and today's volume is recorded at 942405.
Thomson Reuters Corporation (Thomson Reuters) is a provider of information for the world?s businesses and professionals. Shares of TRI traded higher by 0.31% or $0.12/share to $38.85. In the past year, the shares have traded as low as $33.70 and as high as $42.10. On average, 618830 shares of TRI.TO exchange hands on a given day and today's volume is recorded at 553163.
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