Led by $410m private equity deal with Watford Holdings, South and Central America’s financial services industry saw a drop of 6.67% in deal activity during Q1 2021, when compared to the last four-quarter average, according to GlobalData’s deals database.

 

A total of 28 deals worth $995.22m were announced for the region during Q1 2021, against the last four-quarter average of 30.00 deals.

Of all the deal types, M&A saw most activity in Q1 2021 with 14 deals, representing a 50% share for the region.

In second place was venture financing with nine deals, followed by private equity deals with five transactions, respectively capturing a 32.1% and 17.9% share of the overall deal activity for the quarter.

In terms of value of deals, venture financing was the leading category in South and Central America’s financial services industry with $553.14m, while private equity and M&A deals totalled $411.24m and $30.83m, respectively.

South and Central America financial services industry deals in Q1 2021: Top deals

The top five financial services deals accounted for an 86.5% share of the overall value during Q1 2021.

The combined value of the top five deals stood at $860.89m, against the overall value of $995.22m recorded for the quarter.

The top five financial services industry deals of Q1 2021 tracked by GlobalData were:

1) Arch Reinsurance, Kelso &LP and Warburg Pincus’ $410m private equity deal with Watford Holdings

2) The $400m venture financing of NU Pagamentos by Dragoneer Investment Group, GIC, Invesco, Kaszek Ventures, Ribbit Capital, Sequoia Capital Operations, Tencent Holdings and Whale Rock Capital Management

3) Chromo Invest , Goldman SachsLLC, International Finance, LTS Investments, Monashees, Raiz Invest and Sampaio Ferraz Sociedade Advogados’ $25m venture financing of Open

4) The $13.86m venture financing deal with Valour Structured Products by Routemaster Capital

5) Manfield Chemical’s acquisition of Lian Yang Guo Rong for $12.03m.