1. Deals Analysis
February 2, 2021

South and Central America’s technology industry sees a rise of 17.7% in deal activity in Q4 2020

By Carmen

South and Central America’s technology industry saw a rise of 17.7% in overall deal activity during Q4 2020, when compared to the four-quarter average, according to GlobalData’s deals database.

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A total of 80 deals worth $4.71bn were announced for the region during Q4 2020, against the last four-quarter average of 68 deals.

Of all the deal types, venture financing saw most activity in Q4 2020 with 34, representing a 42.5% share for the region.

In second place was M&A with 33 deals, followed by private equity deals with 13 transactions, respectively capturing a 41.3% and 16.3% share of the overall deal activity for the quarter.

In terms of value of deals, M&A was the leading category in South and Central America’s technology industry with $3.77bn, while venture financing and private equity deals totalled $560.82m and $374.69m, respectively.

South and Central America technology industry deals in Q4 2020: Top deals

The top five technology deals accounted for 85.3% of the overall value during Q4 2020.

The combined value of the top five technology deals stood at $4.02bn, against the overall value of $4.71bn recorded for the quarter.

The top five technology industry deals of Q4 2020 tracked by GlobalData were:

1) Claro, Telefonica Brasil and TiM’s $3.2bn asset transaction with Oi

2) The $446.12m acquisition of Copel Telecomunicacoes by Bordeaux Investment Fund

3) Riverwood Capital, Sunley House Capital Management, Viking Global Investors and Visa’s $150m private equity deal with Conductor Tecnologia

4) The $120m venture financing of MadeiraMadeira by SoftBank Group

5) EB Capital’s private equity deal with GurgelMix Maquinas e Ferramentas for $100.73m.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

 

Verdict deals analysis methodology

This analysis considers only announced and completed big data deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

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