Panorama of M&A in Brazil

Opportunities, drivers and challenges for M&A in Brazil

The “Panorama of M&A in Brazil” survey, carried out by Deloitte, raised how organizations are structuring their mergers and acquisitions operations in the current socioeconomic and health situation in Brazil. What is the scope for the growth of these investments, what are the most promising areas and what are the prospects for these operations?

Main insights of the survey

• Most executives (64%) believe that by late 2021 / early 2022, robust economic recovery will occur within Brazil, with 33% believing this will only occur from mid 2022 onwards.
• Executives expect M&A activity to grow in 2021 and beyond with 71% actively pursuing opportunities to grow inorganically, and 95% expecting M&A activity to be similar or increased in 2021 in comparison to 2020.
• The impact of Covid-19 on revenue varied amongst respondents, but 30% saw increases of 10% or more, suggesting most businesses managed to keep revenue stable during the health crisis, and in some cases grow.
• Executives are looking for opportunity within Brazil, withit firmly the destination of choice for M&A investment, with optimism around regional asset valuations and the technology industry.