Press Release Latin America Round Up H1 2009

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press releasemergermarket Latin American M&A Round-up for H1 2009

14 July 2009, for immediate release

Contact:Hannah [email protected]: +44 20 7059 6118

Press Release: www.mergermarket.com 2mergermarket Latin American M&A Round-up for H1 2009

LatAm M&A down although worst might be over• For the fi rst half of the year M&A in Latin America reached a total of $29.1bn and 167 deals. For the same period last year, these

numbers stood at $52bn and 261 deals. But yet despite the near 45% drop in value, and a 36% drop in deal volume, there are indications that the worst may be over. Q2 saw a jump of 82% in deal value to $18.8bn compared to Q1 09, whilst deal volume remained steady.

• These numbers do not compare to the same period 12 months ago, but then neither does the economic climate. With that in mind, deal makers will be happy to see that valuations are once again on the increase while deal activity remains steady

Brazil key factor in LatAm “recovery”• Between 2003 and 2007, Brazil always had the greatest share of Latin American M&A value averaging 38% of total activity by value and

32.6% by volume. • For 2008 and the fi rst half of 2009, the value of Brazilian M&A represented more than 70% of total Latin American deal value. Deal

activity meanwhile increased to over 46% of all Latin American deals over the last 18 months. Although not immune to the overall global economic climate, Brazil remained the main driver of Latin American M&A value and is possibly the key to an improved second half of 2009 for the region as a whole.

• Mexico, from a high of almost 40% in 2006 has dropped to just under 2% of total deal value so far this year. After two successive increases, Chile contributed a mere 2.3% to overall deal value in 2009.

Large cap deals faring better overall, Mexico an exception• 14 deals valued in excess of $500m were announced during H1 2009, just six deals less than the 20 recorded during the fi rst half of

2008. This is despite the fact that the fi rst half of 2008 had total deal values of $52bn compared to just under $30bn so far this year. Instead, it is the ‘upper mid-market’ which seems to have suff ered the most.

• 2008 as a whole saw 27 deals valued between $250m and $500m – compared to just seven so far this year, a drop of 74%. In fact, for the fi rst half of 2008 Latin America saw 13 deals announced in this value range .

• While this trend is true for most of the region, Mexico has suff ered from the opposite. During the fi rst six months of the year the country has seen only two deals valued in excess of $100m, with not a single deal valued at $250m or more.

Europe dominates inbound deal fl ow as LatAm Energy/Mining assets are targeted

• Of the approximately $29bn worth of Latin American deals during the fi rst half of the year, inbound deals represented 17.7% at just over $5bn. The majority of these inbound deals came out of Europe, which represents a massive 78% of inbound deal values.

• Actual inbound deal activity stood at 61 deals, or approximately 37% of total LatAm deal activity. 55.8% of these deals involved European bidders, while North America represented about 36% of deal fl ow into Latin America.

• Almost a third of all inbound deals focused on targets in the Industrials & Chemicals sector, yet these deals only represented 2.2% of total values. Energy on the other hand saw 13 deals, or 21.3% of inbound deal activity, but represented more than half of all inbound values. An example was Swiss mining giant Xstrata’s $2bn acquisition of local rival Glencore International’s Prodeco operations in Colombia.

mergermarket Latin America M&A Round-up H1 2009

Contents

p.2-6 Latin America M&A overview

p.10-15 Brazilian M&A

p.15-18 Mexican M&A

p.38 Criteria

p.38 About mergermarket


Brazil: League Tables of Financial Advisors

League Table of Financial Advisors to Latin American M&A: ValueY/E 2008 H1 2009 House Value (US$m) Deal Count

6 1 UBS Investment Bank 10,865 10

1 2 Rothschild 8,452 4

8 3 Banco Bradesco 5,770 5

2 4 Morgan Stanley 4,882 6

3 5 Credit Suisse 4,279 5

5 6 Citigroup 3,421 5

24 7 BNP Paribas 2,186 2

- 8 Vergent Partners 2,177 1

64 9 Deutsche Bank 2,080 2

4 10 JPMorgan 2,004 6

- 11 Banco Fator 1,895 1

20 12 Santander Global Banking and Markets 1,796 3

22 13 Estater Assessoria Financeira 1,744 2

29 14 HSBC Bank 1,606 2

32 15= Banco Bilbao Vizcaya Argentaria 1,606 1

19 15= Royal Bank of Scotland Group 1,606 1

7 17 Goldman Sachs 953 3

11 18 PricewaterhouseCoopers 658 2

46 19 Singular Partners 658 1

10 20 Bank of America Merrill Lynch 536 2

League Table of Financial Advisors to Latin American M&A: VolumeY/E 2008 H1 2009 House Value (US$m) Deal Count



2 3 JPMorgan 2,004 6





15 8 Santander Global Banking and Markets 1,796 3


17 10 BNP Paribas 2,186 2

36 11 Deutsche Bank 2,080 2


47 13 HSBC Bank 1,606 2


8 15 Bank of America Merrill Lynch 536 2



23 18= Banco Bilbao Vizcaya Argentaria 1,606 1

11 18= Royal Bank of Scotland Group 1,606 1



Latin America: League Tables of Legal Advisors

League Table of Legal Advisors to Latin American M&A: ValueY/E 2008 H1 2009 House Value (US$m) Deal Count

8 1 Machado Meyer Sendacz e Opice 11,580 9

15 2 Simpson Thacher & Bartlett 7,427 3

21 3 Freshfi elds Bruckhaus Deringer 6,743 4

1 4 Barbosa, Mussnich & Aragao 6,054 5

110 5= Bocater, Camargo, Costa e Silva Advogados 4,583 1

- 5= Fontes, Tarso Ribeiro Advogados 4,583 1

4 7 Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga Advogados 3,978 14

6 8 Skadden Arps Slate Meagher & Flom 3,690 3

36 9 Souza, Cescon Avedissian, Barrieu e Flesch Advogados 3,106 4

7 10 Pinheiro Neto Advogados 2,973 7

2 11 Shearman & Sterling 2,742 4

177 12 Pinheiro Guimaraes Advogados 2,164 1

- 13= Conyers Dill & Pearman 2,000 1

- 13= Slaughter and May 2,000 1

- 15= D'Empaire Reyna Bermudez Abogados 1,970 1

- 15= Mitrani Caballero Ojam 1,970 1

- 17 Velloza, Girotto e Lindenbojm Advogados Associados 1,966 2

24 18 Franca e Nunes Pereira Advogados 1,895 1

- 19= Allens Arthur Robinson 1,606 1

142 19= Gilbert + Tobin 1,606 1

League Table of Legal Advisors to Latin American M&A: VolumeY/E 2008 H1 2009 House Value (US$m) Deal Count





12 5 Muniz Ramirez Perez-Taiman & Luna-Victoria 117 5

11 6 Rodrigo Elias & Medrano 43 5




7 10 Tozzini Freire Teixeira E Silva Advogados 1,549 4

112 11 Xavier Bernardes Braganca 828 4



14 14 Cleary Gottlieb Steen & Hamilton 1,213 3

59 15 CMS - 3


60 17 Motta Fernandes Rocha Advogados 1,284 2

38 18 Uria Menendez 374 2

51 19 Demarest e Almeida 89 2

42 20= Dewey & LeBoeuf 45 2

135 20= Kramer Levin Naftalis & Frankel 45 2* Includes lapsed and withdrawn bids


Latin America: M&A Activity Table H1 2009

Activity Table of Latin American M&A H1 2009Announced Date

Bidder Company Bidder Financial Advisor

Bidder Legal Advisor Target Company Target/Seller Financial Advisor

Target/Seller Legal Advisor Seller Company Deal Value (US$m)

19-May-09 Perdigao SA UBS Investment Bank Bocater, Camargo, Costa e Silva Advogados; Machado Meyer Sendacz e Opice; Simpson Thacher & Bartlett

Sadia SA Banco Bradesco; Rothschild

Barbosa, Mussnich & Aragao; Fontes, Tarso Ribeiro Advogados; Freshfi elds Bruckhaus Deringer

4,583

20-Apr-09 BTG Investments LP Skadden Arps Slate Meagher & Flom

Banco UBS Pactual SA Advising Seller: UBS Investment Bank

Advising Seller: Machado Meyer Sendacz e Opice; Simpson Thacher & Bartlett

UBS AG 2,500

23-Apr-09 Cemig Geracao e Transmissao SA

Morgan Stanley Machado Meyer Sendacz e Opice; Pinheiro Guimaraes Advogados

Terna Participacoes SA Advising Seller: Credit Suisse; Rothschild; Vergent Partners

Advising Seller: Souza, Cescon Avedissian, Barrieu e Flesch Advogados

Terna - Rete Elettrica Nazionale SpA

2,177

29-Jan-09 Xstrata Coal South America Ltd

Deutsche Bank; Rothschild

Conyers Dill & Pearman; Freshfi elds Bruckhaus Deringer

Glencore International AG (Prodeco business in Colombia)

Advising Seller: Morgan Stanley

Advising Seller: Slaughter and May Glencore International AG 2,000

07-May-09 Corporacion Venezolana de Guayana

Siderurgica del Orinoco CA (59.70% stake)

Advising Seller: D'Empaire Reyna Bermudez Abogados; Mitrani Caballero Ojam

Ternium SA 1,970

09-Jan-09 Banco do Brasil SA Banco Fator; UBS Investment Bank

Franca e Nunes Pereira Advogados; Velloza, Girotto e Lindenbojm Advogados Associados

Banco Votorantim (50% stake)

Advising Seller: Machado Meyer Sendacz e Opice

Votorantim Financas 1,895

15-Jun-09 Holcim Limited UBS Investment Bank Gilbert + Tobin Cemex Australia Pty Ltd

Advising Seller: Banco Bilbao Vizcaya Argentaria; BNP Paribas; Citigroup; HSBC Bank; Royal Bank of Scotland Group; Santander Global Banking and Markets

Advising Seller: Allens Arthur Robinson

Cemex SA de CV 1,606

22-Jun-09 Duratex SA Satipel Industrial SA Credit Suisse 1,152

05-Mar-09 Votorantim Celulose e Papel SA

Estater Assessoria Financeira

Bredin Prat; Motta Fernandes Rocha Advogados; Shearman & Sterling; Tozzini Freire Teixeira E Silva Advogados

Aracruz Celulose SA (28.03% stake)

Citigroup; JPMorgan Pinheiro Neto Advogados; Advising Seller: Barbosa, Mussnich & Aragao; Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga Advogados; Pompeu, Longo, Kignel & Cipullo Advogados; Skadden Arps Slate Meagher & Flom

Arainvest Participacoes SA 1,110

30-Jan-09 Construcoes e Comercio Camargo Correa SA

VBC Energia SA (50% stake)

Grupo Votorantim 1,110


Latin America: M&A Activity Trend

Latin American M&A Activity - Quarterly

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Latin American M&A Activity - Annual

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Latin American Cross-border M&A Activity - Quarterly

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Latin American Cross-border M&A Activity - Annual

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Latin America: M&A Deal Size and Sector Breakdown

M&A Activity Trend Comparison - Annual Values (2003 =100)

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LatAm Brazil Mexico Chile Argentina Global

M&A Activity Trend Comparison - Annual Volumes (2003 =100)

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LatAm Brazil Mexico Chile Argentina Global

Break up of Latin American M&A by Country: Value - Annual

45.4%49.6%

20.3%

34.0%39.3%

71.8% 73.5%

5.6%

24.6%

17.0%

38.4%32.9%

7.0% 1.9%

19.6%

4.5%

11.2%

5.5% 7.2%

13.0%

9.9%

13.8%

9.7%

3.4%

6.9%0.4%

1.4%

27.0%

7.5%

5.7%

10.8%

19.0%

6.2%

14.9%11.2%

8.0%4.2%

11.1%

2.3%

1.5%

0.4%

2.7%

0%

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30%

40%

50%

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70%

80%

90%

100%

2003 2004 2005 2006 2007 2008 H1 2009

Shar

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alue

Brazil Mexico Chile Argentina Colombia Other*

c

Break up of Latin American M&A by Country: Volume - Annual

35.7%

28.7% 29.6% 30.2%

39.0%

46.4% 46.7%

16.8%

23.0%18.0%

19.2%

16.2%

13.7% 13.8%

14.7%

10.2%

12.9%11.8%

8.0%

12.8%10.2%

12.6%

13.5%13.3% 12.3%

12.0%

8.3%

6.0%

1.4%4.9% 8.8% 9.0% 7.3%

5.0%

6.0%

18.9% 19.7% 17.3% 17.6% 17.6%13.9%

17.4%

0%

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100%

2003 2004 2005 2006 2007 2008 H1 2009

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Brazil Mexico Chile Argentina Colombia Other*


Latin America and the World

Latin American M&A deal size breakdown - Value

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$5m - $14.9m $15m - $100m $101m - $250m $251m - $500m > $501m

Latin American M&A deal size breakdown - Volume

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Value not disclosed $5m - $14.9m $15m - $100m $101m - $250m $251m - $500m > $501m

Mix of Latin American Deals by Industry Sector H1 2009 - Value

Industrials & Chemicals11.8%

Financial Services21.8%

Business Services1.0%

Consumer20.9%

Energy, Mining & Utilities29.4%

Construction0.1%

Agriculture6.7%

Leisure0.7%

Media0.1%

Transport1.2%

Telecom1.4%

Real Estate2.2%

Pharma, Medical & Biotech2.5%

Mix of Latin American Deals by Industry Sector H1 2009 - Volume




Consumer18.0%


Technology1.2%

Media1.2%

Telecom2.4%

Leisure2.4%

Transport3.6%


Construction3.0%

Real Estate3.0%

Agriculture4.2%


Latin America and the World

* GDP fi gures from IMF World Economic Outlook Database, April 2009 * GDP fi gures from IMF World Economic Outlook Database, April 2009

Mix of Latin American Inbound Deals by Industry Sector H1 2009 - Value



Consumer1.6%


Transport5.9%


Construction0.4%

Agriculture6.8%


Mix of Latin American Inbound Deals by Industry Sector H1 2009 - Volume




Consumer9.8%


Technology1.6%

Transport6.6%


Construction3.3%

Agriculture3.3%

Mix of Latin American Inbound Deals by Target Geography H1 2009 - Value

North America21.4%

Western Europe57.9%

Southern Europe12.6%

Northern Europe7.5%

Japan0.7%

Mix of Latin American Inbound Deals by Target Geography H1 2009 - Volume

North America36.1%

Western Europe32.8%


Northern Europe4.9%

Japan4.9%

South & Central Asia1.6%

Africa & Middle East1.6%


Brazilian M&A suff ers overall decline despite improved second quarter

• Total deal values in Brazil for H1 2009 are down by 43% compared to H1 2008. Brazilian M&A values stood at $37.6bn on 112 deals in 2008, a drop of approximately $16bn to $ 21.4bn on 78 deals in 2009.

• Q2 2009 has however provided some respite as values are up by 144% on the fi rst three months of the year. If the high deal values seen in Brazil last year are excluded, the $15bn worth of deals recorded in Q2 2009 is the highest total value in the region since Q1 2004. Overall, it has been the fi fth highest value in a quarter since 2003. Deal volumes are also up by 36% compared to Q1, increasing from 33 to 45 deals.

Valuations in Business Services and Telecoms deals hit hardest

• The Business Services sector saw a 90% drop in total deal values compared to the same period last year. During H1 2008 the sector recorded 13 deals valued at just over $1bn compared to just $104m on nine deals so far this year.

• Another sector that has felt the pinch of the global economic downturn is the Telecoms sector. H1 2008 saw three deals with a combined value of $8.2bn – so far this year TIM Participacoes’ $284m buy of Intelig Telecomunicacoes has been the solitary deal in a sector usually driving M&A values in Brazil.

Agriculture boom proving attractive investment, ethanol remains vibrant

• Brazil’s agricultural exports reached a record $71.9bn in 2008, an increase of approximately 23% from $58.5bn in 2007, according to the Brazilian Agricultural Ministry. It comes as no surprise then that the country has seen a signifi cant increase in both the value as well as volumes of deals in this sector.

• For all of 2008, Agriculture deals represented 0.3% of Brazilian deal values and 1.8% of deal volumes or four deals worth a combined $224m. Six months later, the sector now accounts for 7.5% of deal values and 6.4% of deal volumes.

• Ethanol will remain a sector of great interest during the remaining 6 months of the year with the likes of BP Biofuels, the Ethanol subsidiary of UK-based BP, evaluating acquisition opportunities in the Brazilian ethanol market. The company intends to invest $1bn in the Brazilian ethanol market and create a multicluster structure in Brazil to achieve a crushing capacity of 80m to 100m tons of sugarcane per year.

League table analysis

• UBS fi nishes the fi rst half of the year on top of the Brazilian league table rankings by both value and volume. The fi rm worked on six deals valued at $9.2bn, a full $3bn more than Rothschild, last year’s top adviser in value terms, in second on $6bn. With $5.7bn worth of deals Banco Bradesco is the only local fi rm to be ranked inside the top fi ve by value. The banking group has been the second most active in the region on fi ve deals, just ahead of Credit Suisse in third.

• In stark contrast to the fi nancial advisory league tables, Brazilian law fi rms take centre stage in the legal tables. With the exception of Simpson Thacher & Bartlett and Freshfi elds Bruckhaus Deringer the top fi ve fi rms by value and volume are represented by local fi rms. Machado Meyer tops the value table, having worked on nine deals valued at $11.6bn so far this year. Last year’s front runner by value, Barbosa, Mussnich & Aragao, is ranked in third on just over $6bn worth of deals. Despite having worked on only two deals thus far, Simpson Thacher takes second place in value terms after being mandated on the two largest deals in the region to date.

• São Paolo based Mattos Filho has been the most active fi rm during H1 2009, working on 14 deals valued at just under $4bn. Pinheiro Neto continues to maintain its 2008 ranking as the third most active fi rm with seven deals worth $3bn.

Brazilian M&A roundup H1 2009

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Brazil: M&A Activity Table H1 2009

Activity Table of Brazilian M&A H1 2009Announced Date

Bidder Company Bidder Financial Advisor Bidder Legal Advisor Target Company Target/Seller Financial Advisor

Target/Seller Legal Advisor Seller Company Deal Value (US$m)

19-May-09 Perdigao SA UBS Investment Bank Bocater, Camargo, Costa e Silva Advogados; Machado Meyer Sendacz e Opice; Simpson Thacher & Bartlett

Sadia SA Banco Bradesco; Rothschild

Barbosa, Mussnich & Aragao; Fontes, Tarso Ribeiro Advogados; Freshfi elds Bruckhaus Deringer

Anglo American Plc 4,583

20-Apr-09 BTG Investments LP Skadden Arps Slate Meagher & Flom

Banco UBS Pactual SA

Advising seller: UBS Investment Bank

Advising seller: Machado Meyer Sendacz e Opice; Simpson Thacher & Bartlett

UBS AG 2,500

23-Apr-09 Cemig Geracao e Transmissao SA

Morgan Stanley Machado Meyer Sendacz e Opice; Pinheiro Guimaraes Advogados

Terna Participacoes SA

Advising seller: Credit Suisse; Rothschild; Vergent Partners

Advising seller: Souza, Cescon Avedissian, Barrieu e Flesch Advogados

Terna - Rete Elettrica Nazionale SpA

2,164

9-Jan-09 Banco do Brasil SA Banco Fator; UBS Investment Bank

Franca e Nunes Pereira Advogados; Velloza, Girotto e Lindenbojm Advogados Associados

Banco Votorantim (50% stake)

Advising seller: Machado Meyer Sendacz e Opice

Votorantim Financas 1,895

22-Jun-09 Duratex SA Satipel Industrial SA Credit Suisse 1,152

5-Mar-09 Votorantim Celulose e Papel SA

Estater Assessoria Financeira

Bredin Prat; Motta Fernandes Rocha Advogados; Shearman & Sterling; Tozzini Freire Teixeira E Silva Advogados

Aracruz Celulose SA (28.03% stake)

Citigroup; JPMorgan Pinheiro Neto Advogados; Advising Seller: Barbosa, Mussnich & Aragao; Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga Advogados; Pompeu, Longo, Kignel & Cipullo Advogados; Skadden Arps Slate Meagher & Flom

Arainvest Participacoes SA

1,110

30-Jan-09 Construcoes e Comercio Camargo Correa SA

VBC Energia SA (50% stake)

Grupo Votorantim 1,110

30-Jan-09 Vale SA Cleary Gottlieb Steen & Hamilton; Kanuka Thuringer; Levy & Salomao; Osler, Hoskin & Harcourt

Rio Tinto plc (Corumba iron ore mine and associated river logistics operations)

Advising seller: Lawson Lundell Lawson & McIntosh; Linklaters

Rio Tinto Plc 750

4-Jun-09 Banco Bradesco SA Banco Bradesco Xavier Bernardes Braganca Banco IBI Advising seller: Credit Suisse

Advising seller: Pinheiro Neto Advogados

Cofra Holding AG 723

9-Apr-09 Sanofi -Aventis SA PricewaterhouseCoopers Gouvea Vieira; Pinheiro Neto Advogados

Medley S/A Industria Farmaceutica

Singular Partners Madrona Hong Mazzuco Kawamura; Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga Advogados

658


Brazil: League Tables of Financial Advisors

League Table of Financial Advisors to Brazilian M&A: ValueY/E 2008 H1 2009 House Value (US$m) Deal Count














- 14 Valuation Consultoria Empresarial 249 1

- 15= Genuity Capital Markets 200 1

- 15= National Bank Financial 200 1

League Table of Financial Advisors to Brazilian M&A: VolumeY/E 2008 H1 2009 House Value (US$m) Deal Count














- 14 Valuation Consultoria Empresarial 249 1

- 15= Genuity Capital Markets 200 1

- 15= National Bank Financial 200 1


Brazil: League Tables of Legal Advisors

League Table of Legal Advisors to Brazilian M&A: ValueY/E 2008 H1 2009 House Value (US$m) Deal Count





49 5= Bocater, Camargo, Costa e Silva Advogados 4,583 1

- 5= Fontes, Tarso Ribeiro Advogados 4,583 1





82 11 Pinheiro Guimaraes Advogados 2,164 1


16 13 Franca e Nunes Pereira Advogados 1,895 1



League Table of Legal Advisors to Brazilian M&A: VolumeY/E 2008 H1 2009 House Value (US$m) Deal Count






54 6 Xavier Bernardes Braganca 828 4







22 13 Motta Fernandes Rocha Advogados 1,284 2

17 14 Demarest e Almeida 89 2

- 15 Trench, Rossi & Watanabe 43 2

* Includes lapsed and withdrawn bids


Brazil: M&A Deal Value and Sector Breakdown




Consumer26.4%


Telecom1.3%

Leisure0.9%

Transport1.4%


Real Estate3.0%

Agriculture7.5%

Mix of Brazilian Deals by Industry Sector H1 2009 - Value




Consumer17.9%


Technology1.3%

Media1.3%

Telecom1.3%

Leisure2.6%

Transport5.1%


Construction2.6%

Real Estate5.1%

Agriculture6.4%

Mix of Brazilian Deals by Industry Sector H1 2009 - Volume

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Mix of Brazilian Deals by Deal Size - Value

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eals

Mix of Brazilian Deals by Deal Size - Volume

Value not disclosed US$5m-US$14.9m US$15m-US$100m US$101m-US$250m US$251m-US$500m > US$501m


Brazil: Inbound M&A Sector and Geography Breakdown




Consumer1.1%

Energy, Mining & Utilities21.9%Transport

13.0%


Agriculture0.6%

Mix of Brazilian Inbound Deals by Industry Sector H1 2009 - Value




Consumer8.0%


Transport8.0%


Construction4.0%

Agriculture4.0%

Mix of Brazilian Inbound Deals by Industry Sector H1 2009 - Volume

North America34.8%

Western Europe47.3%


Northern Europe1.6%

Japan0.9%

Mix of Brazilian Inbound Deals by Bidder Geography H1 2009 - Value

North America36.0%

Western Europe40.0%


Northern Europe4.0%

Japan8.0%

Mix of Brazilian Inbound Deals by Bidder Geography H1 2009 - Volume


Mexican M&A roundup H1 2009

Mexican M&A Activity - Quarterly

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000


Valu

e (U

S$m

)

0

5

10

15

20

25

30

35

Num

ber o

f Dea

ls

Overall Value Mid-market Value Overall Volume Mid-market Volume

Mexican Cross-border M&A Activity - Quarterly

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000


Valu

e (U

S$m

)

0

2

4

6

8

10

12

14

16

18

20

Num

ber o

f Dea

ls



Mexico: M&A Activity Table H1 2009

Activity Table of Russian M&A H1 2009Announced Date

Bidder Company Bidder Financial Advisor

Bidder Legal Advisor Target Company Target/Seller Financial Advisor

Target/Seller Legal Advisor

Seller Company Deal Value (US$m)

15-Jun-09 Holcim Limited UBS Investment Bank

Gilbert + Tobin Cemex Australia Pty Ltd Advising Seller: Banco Bilbao Vizcaya Argentaria; BNP Paribas; Citigroup; HSBC Bank; Royal Bank of Scotland Group; Santander Global Banking and Markets

Advising Seller: Allens Arthur Robinson

Cemex SA de CV 1,606

08-May-09 Grupo Lala SA De CV Rothschild Cleary Gottlieb Steen & Hamilton

National Dairy Holdings LP

Advising Seller: SunTrust Robinson Humphrey Capital Markets

Advising Seller: Baker Botts

Dairy Farmers of America Inc

435

02-Apr-09 Caja de Ahorros del Mediterraneo

KPMG Abogados Credito Inmobiliario Terras

GMAC-RFC Auritec SA 195

19-Mar-09 Grupo Financiero Banorte SA de CV

JPMorgan Inter National Bank (30% stake)

150

27-Feb-09 GE Energy Financial Services Inc

Vinson & Elkins ATP Innovator (49% stake)

Advising Seller: Goldman Sachs; SMH Capital

ATP Oil & Gas Corporation 150

28-Jan-09 Grupo Nacional de Chocolates SA

Nutresa SA de CV 94

15-Jun-09 Martin Marietta Materials Inc

Cemex Inc (three US quarries); and Granit Canyon quarry (Cemex Inc and Martin Marietta Materials Joint Venture) (49% stake)

Cemex SA de CV 65

21-Jan-09 Alfonso Nacer Gobera (Private Investor); and Jorge Nacer Gobera (Private investor)

El Financiero 42

25-May-09 Cie Berriz de Mexico SA de CV

Internal Uria Menendez Pemsa - Pintura, Estampado y Montaje SA de CV

CIE DESC AUTOMOTIVE, SAPI de CV

30

30-Mar-09 Metronet SA de CV Fried Frank Harris Shriver & Jacobson; Latham & Watkins

Diveo Broadband Networks Inc (Mexican Subsidiaries)

Hogan & Hartson Diveo Broadband Networks Inc

25


Mexico: M&A Deal Value and Sector Breakdown

Mexican M&A deal size breakdown - Value

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

2003 2004 2005 2006 2007 2008 H1 2009

Valu

e (U

S$m

)

> $501m$251m - $500m$101m - $250m$15m - $100m$5m - $14.9m

Mexican M&A deal size breakdown - Volume

0

10

20

30

40

50

60

70

80

90

100

2003 2004 2005 2006 2007 2008 H1 2009

Num

ber o

f dea

ls

> $501m$251m - $500m$101m - $250m$15m - $100m$5m - $14.9mValue not disclosed

Mix of Mexican Deals by Industry Sector H1 2009 - Value




Consumer17.7%

Media7.4%

Telecom4.4%

Mix of Mexican Deals by Industry Sector H1 2009 - Volume





Consumer8.7%

Transport4.3%

Media4.3%

Telecom4.3%


All data is based on transactions over US$5m announced between 1 January 2009 and 30 June 2009, unless stated otherwise. Deals with undisclosed deal values are included where the target’s turnover exceeds US$10m. Deals where the stake acquired is less than 30% will only be included if their value is greater than US$100m. Activities excluded from the league tables include property transactions and restructurings where the ultimate shareholders’ interests are not changed.

The M&A activity tables and league tables are based on the dominant geography of any of the target, bidder or seller. The overall trend graphs and pie charts are based on the dominant geography of the target only; while the cross-border trend graphs and pie charts are based on the dominant geography of the target and the bidder. All sector breakdowns are based on the dominant sector of the target only.

The trend graphs are based on transactions announced in the given time periods.

For this report, “inbound” refers to deals where the dominant geography of the target is the indicated country and the dominant geography of the bidder is outside of the indicated country; “outbound” refers to deals where the dominant geography of the target is outside of the indicated country and the dominant geography of the bidder is the indicated country. “Mid-market” refers to deals valued between US$10m and US$250m.

Unless stated otherwise, all data excludes lapsed and withdrawn bids.

All data correct as of 14 July, 2009.

Criteria

Contact:Hannah [email protected]: +44 20 7059 6118

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Documents

Press Release Latin America Round Up H1 2009