After a five year dominance by borrowers, the bank market has spun firmly in favor of lenders. Those with balance sheet stand to be highly selective and relationship focused.
Yearly Archives: 2008
Posted inMagazine
Short is the New Long
LatAm local markets are essential to nursing corporates back to life. It will be a slow restart in 2009, commencing with shorter-term high grade bonds.
Posted inMagazine
PE Hunkers Down
The absence of public equity and debt markets creates both opportunity and risk for private equity. Cash rich funds with unlevered assets have the upper hand.
Posted inMagazine
Show Must Go On
M&A is forecast to overcome credit constraints and remain active in 2009. Strategics and financials with cash on hand will be active acquirers, though valuation is key.
Posted inMagazine
Growing in Slow Motion
As the commodity bubble continues to deflate, LatAm economies face decelerating GDP growth. Some are better hedged than others.
Posted inMagazine
Hanging in There
LatAm currencies nosedived late 2008 after rallying to all-time highs. Central banks will step in to restore stability, but prolonged global slump keeps currencies under pressure.
Posted inMagazine
Brazil Banks Bulk up
Brazil’s banking hierarchy is upended by the Itaú-Unibanco merger and Banco do Brasil’s aggressive shopping spree. Underdog Bradesco evaluates its options.
Posted inMagazine
Brazil Credit Squeezed
After a surge in credit growth, Brazil lending has ground to a halt. Small banks are in peril and consolidation looks inevitable.
Posted inMagazine
A Bridge Too Far?
Hefty government spending guarantees a solid pipeline
of infrastructure deals despite financial crisis and economic slump. Financing lags, but Banobras hopes to pick up slack.
Posted inMagazine
Last Nail in Coffin
Nationalization of the country’s private pension funds is the final nail in the coffin of Argentine capital markets. And efforts to normalize external creditor relations are stalled.