|Machado Meyer Sendacz e Opice
|Mattos Filho Veiga Filho Marrey Jr e
|Pinheiro Neto Advogados
|Barbosa Müssnich &
|Tozzini Freire Teixeira e Silva
The takeoff in Brazil's equity capital markets has been
mirrored by a leap in M&A. According to Dealogic, in the
first 10 months of 2006 there were 193 deals involving a
Brazilian target, up from 123 over the same period in 2005.
These have been worth $47.6 billion, more than six times the
value for last year.
Among the highlights this year has been Arcelor Mittal's
attempts to include subsidiary Arcelor Brasil in its global
merger. The Brazilian securities regulator, Comissão de
Valores Mobiliários (CVM), ruled in September that the
parent company must make a buyout offer to Arcelor Brasil's
minority shareholders. Mattos Filho Veiga Filho Marrey Jr e
Quiroga was Brazilian counsel to Mittal on the merger, Barbosa
Müssnich & Aragão represented Arcelor.
Machado Meyer Sendacz e Opice was local counsel to UBS on
the Swiss bank's acquisition of Banco Pactual for a total of
$2.5 billion. Barbosa Müssnich acted for Pactual.
Last year Lojas Renner became the fist Brazilian company to
not have a controlling shareholder when JC Penney sold 98% of
the company's stock. Since then, a further 12 companies have
got rid of their controlling shareholder or groups, raising the
prospect of tender offers for the first time. Earlier this year
shareholders in Perdigão, which was represented by
Mattos Filho, rejected a tender offer from rival Sadia and
companies have begun to adopt poison pills. Observers are
asking the CVM to clarify its tender offer rules.