Creating and distributing additional copies is prohibited without the permission of the publisher. Contact

Petrobras Makes a Bold Buy

Feb 1, 2003

Merger and acquisition volumes in Latin America plunged 75% in 2002. However, it was not a bad year for cross-border deals within the region involving Latin American bidders and targets. Indeed, a transaction of historic proportions took place in October 2002 when Petrobras, the Brazilian national oil company, paid $1.03 billion for 58.6% of Pérez Companc, Argentina's second-largest oil company. As Argentina's economy crashed and street protests threatened to topple the government, negotiators from the two sides hashed out a deal giving the Brazilians control of one of the country's largest companies. The acquisition, significant for its complexity and for Petrobras's audacity and strategic vision, is LatinFinance's M&A deal of the year.

Extreme risk frightened most investors away from Argentina...

To continue reading please take a free trial, subscribe or login below.

Already have an account?


Subscribe now for unlimited access to all current and archive news, data and market analysis. 


Free trial

Take a free two-week trial now for the latest news, data and market analysis.

Free Trial

LatinFinance Events


Will ABS become more interesting for LatAm borrowers as US monetary policy normalizes?


“The crisis has been a setback for reserve diversification."

Jan Dehn, Ashmore Investment Management

Printing isn't available for this page.