Investment Bank of the Year Argentina: Goldman Sachs
October 31, 2019
By developing an on-the-ground presence, the investment bank won advisory business and worked on top deals in a troubled market
Last year, Goldman Sachs reopened its office in Buenos Aires as part of deeper push into Latin America. And the move paid off.
Even as the Argentine economy unraveled, unleashing a sharp devaluation of the peso and sharply slowing capital markets activity, Goldman landed and executed several eye-catching deals.
“It has been a difficult environment,” says Matias Rotella, who heads Goldman’s Buenos Aires office. “But we adjust to operate in different environments.”
Goldman was one of the lead bookrunners and stabilization agent on Globant’s $348 million equity follow-on in June last year.
The investment bank also led financing for e-commerce pioneer MercadoLibre, which included a $750 million strategic investment by PayPal and a $1.15 billion equity follow-on in March.
In particular, Goldman sees Argentina’s tech sector as an opportunity. “A handful of regional technology companies are headquartered in Argentina,” Rotella says. “They are growing quickly, and they need to do more complex and bigger transactions as they develop.”
During the awards period from July 2018 to June 2019, Goldman ranked atop both the equity capital markets and M&A league tables, according to Dealogic.
In January, Goldman was the exclusive financial advisor to Prisma Medios de Pago, Argentina’s leading payments company, in its sale of a 51% stake to Advent International.
Rotella credits Goldman’s performance to its on-the-ground presence. “Having a local business allows us to cover more companies,” he says. “We don’t have to rely on San Francisco or New York bankers coming down.”