Venture Equity Latin America - 2012 Mid Year Report

Venture Equity Latin America’s 2012 Mid-Year Report includes data from 51 completed deals in the first six months of 2012, a jump from 39 recorded in the same period in 2011. If deal activity remains steady throughout the rest of 2012, PE/VC activity could reach another peak in the number of deals this year. This hike in deal frequency suggests that beyond total capital raised, individual factors are at play. 

“In our analysis, despite the overall difficult investment and fundraising climate, we saw that certain ongoing and emerging factors make Latin America a consistently attractive place for investors, especially given the alternatives,” said Linda Zhang, editor of VELA. “Investors are seeing potential for growth in a variety of specific sectors and countries.”

 Indeed, several individual factors in Latin America shine through the overall dimming investment climate in regions across the globe. Among these trends was the boom in the e-commerce industry, fueled by a growing middle class across Latin America, as well as the swelling in the number of investments in the Internet and IT sectors. Rearranging the country spotlights, though Brazil remained the darling in terms of investments in the region, Chile rose to the forefront in the Andean region.

Nevertheless, the recent slowdown in investor activity around the world still impacted overall investment numbers in Latin America as well. Private equity and venture capital investments reached a total of $1.8 billion in Latin America by of the end of the first half of 2012, according to Venture Equity Latin America’s 2012 Mid-Year Report. This is down from $4.4 billion invested twelve months ago, representing a 60% decrease year-over-year.

Likewise, fundraising levels in the first six months of 2012 dropped to less than a third of levels at the same time last year. Total capital disbursed in exits totaled to almost half of the first half of 2011. Despite this drop, the region’s investment activity landed slightly higher this mid-year compared to the same period in 2008 and 2009, in the midst of a global economic recession, at 8% and 37% higher, respectively.

Venture Equity Latin America’s Mid-Year Report provides detailed analysis of deals, fundraising, and exits, so clients can track industry trends with year-to-year comparison dating back to 1998. Users gain insight into markets of interest, and receive information on which fund managers have successfully raised new capital. The Mid-Year Report also helps users understand the liquidity market with a comprehensive listing of all known exits in the market for 1H2012.

The publisher, WorldTrade Executive, a part of Thomson Reuters, based in Concord, Massachusetts also publishes Latin American Law and Business Report and Practical Latin American Tax Strategies, as well as other resources sharing information from senior executives and legal practitioners concerning international transactions. 

For more information on Venture Equity Latin America's Mid-Year Report  visit http://www.wtexecutive.com or contact Jay Stanley at 978-287-0391. 

Purchase Venture Equity Latin America 2012 Mid-Year Report only for $299. The report will be delivered in PDF format via e-mail.

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For more information visit http://www.wtexecutive.com or contact Jay Stanley at 978.287.0301 or send an email to jstanley@wtexecutive.com