1. Deals Analysis
February 9, 2021

South and Central America’s technology industry saw a rise of 53.57% in cross border deal activity in Q4 2020

By Carmen

Led by Riverwood Capital, Sunley House Capital Management, Viking Global Investors and Visa’s $150m private equity deal with Conductor Tecnologia, South and Central America’s technology industry saw a rise of 53.57% in cross border deal activity during Q4 2020, when compared to the last four-quarter average, according to GlobalData’s deals database.

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A total of 43 cross border deals worth $559.08m were announced for the region during Q4 2020, against the last four-quarter average of 28 deals.

Of all the deal types, venture financing saw most activity in Q4 2020 with 19, representing a 44.2% share for the region.

In second place was M&A with 14 deals, followed by private equity deals with ten transactions, respectively capturing a 32.6% and 23.3% share of the overall cross border deal activity for the quarter.

In terms of value of cross border deals, venture financing was the leading category in Brazil’s technology industry with $296.33m, while private equity and M&A deals totalled $213.26m and $49.49m, respectively.

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

The top five technology cross border deals accounted for a 77.3% share of the overall value during Q4 2020.

The combined value of the top five cross border deals stood at $431.92m, against the overall value of $559.08m recorded for the quarter.

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

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

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

3) Warburg Pincus’ $100m venture financing of Curupira

4) The $34.99m private equity deal with Sophos Solutions by Advent International

5) 360 Capital Digital Infrastructure Fund’s asset transaction with Etix Financial Holding America and Etix Financial Holding Europe for $26.93m.

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.

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