Telefónica steps up Latam divestments with Mexico in spotlight

Google’s acquisition of Wiz is its largest-ever deal and comes with impressive reverse break feeRegulatory scrutiny of the deal will act as bellwether of the US regulatory environmentGoogle’s USD 32bn all-cash offer for multicloud player Wiz is likely to act as the starting pistol on a new wave of tech deals.The proposal to buy Wiz is the tech giant's largest-ever deal and also comes with one of the tech industry’s most significant reverse termination fees. Start-ups in areas like artificial intelligence (AI), cloud computing and cybersecurity are increasingly likely to receive approaches from major tech players in the wake of this deal, which will act as a bellwether for the regulatory mood in the US.Troy Hooper, a California-based Mergermarket journalist covering the tech industry, joins Dealcast host Julie-Anna Needham to discuss why Google’s second offer for the company was successful.Could the US Federal Trade Commission’s (FTC) new chair, Andrew N. Ferguson, prove more welcoming to tech deals than his predecessor, Lina Khan?Why did Wiz drop its plans to hold an initial public offer (IPO)?Will the cybersecurity aspects of Wiz’s business attract regulatory scrutiny?All this and more in this week’s Dealcast.

Iñaki Miguel, Mergermarket’s senior Iberian correspondent, and Carlos Martínez, the publication’s Canada editor, join Dealcast host Julie-Anna Needham to discuss why this deal will be such a significant milestone for the Spanish company when it comes.Could Mexico’s new telecoms regulator challenge the deal if Walmart wins the auction? Will Telefónica maintain a position in Brazil?Why has Spain’s State Company for Industrial Investments (SEPI) promoted a management change at the Madrid-based company?All this and more in this week’s Dealcast.

In our first regular feature on equities, Sam Kerr, Mergermarket’s Global ECM Editor, joins Dealcast host Julie-Anna Needham to discuss how big selldowns in names like Italian luxury automobile giant Ferrari and Swiss pharmaceutical conglomerate Novartis are driving the European market.Despite the success of European selldowns, why did the IPO of Spanish travel-tech company HBX Group fall flat? What went wrong with the IPO of US liquified natural gas (LNG) producer Venture Global?Are US President Donald Trump's policy decisions affecting the mood, or would the ECM markets have turned regardless?All this and more in this week’s Dealcast

Aurelia Seidlhofer, Mergermarket’s Munich-based senior reporter joins Dealcast host Julie-Anna Needham to discuss the outlook for dealmaking in Germany and Europe as a whole, including:How US policies could push European M&A and potentially create pan-European championsHow CDU campaign points like lowering energy prices and investing in infrastructure could boost dealmaking in GermanyWhy German companies may look at buying US companies, while Germany and Europe at large may simultaneously become more critical of US investments at homeWhich big assets are already in the pipeline, such as TenneT GermanyAll this and more in this week’s Dealcast.

Troy Hooper, Mergermarket’s Los Angeles-based editor, and Cristiano Dalla Bona, Mergermarket’s New York-based senior ECM reporter, join Dealcast host Julie-Anna Needham to discuss the outlook for dealmaking in the sector, including:How inexpensive, open-source AI platforms, like DeepSeek, are opening up opportunities for dealmaking and potential criminal activityHow the rapid developments in AI affect buyers’ needs and shape dealmakingWhy buyers in cybersecurity are targeting smaller acquisitions rather than megadealsWhich IPOs could arise in the near future, including unicorns like Orca Security and WizAll this and more in this week’s Dealcast.

Yiqing Wang, Mergermarket’s Managing Editor for APAC, joins Dealcast host Julie-Anna Needham to discuss why the overall mood is optimistic, despite the risks of a new trade war.When could DeepSeek, the low-cost artificial intelligence (AI) player, seek financing?Has Nippon Steel [TYO:5401] thrown in the towel in its battle to buy US Steel yet?What are the latest developments in the takeover battle for Fuji Soft?All this and more in this week’s Dealcast.

Auri Aittokallio, Mergermarket’s head of Nordics and assistant editor, joins Dealcast host Julie-Anna Needham to discuss why a new space race between the US and China is igniting deal flow in Europe.How will increased spending by members of the North Atlantic Treaty Organisation (NATO) impact companies in Europe?What is driving a modest recovery in M&A volumes in the sector?If the trajectory continues, what kind of deals will be likely to see?All this and more in this week’s Dealcast

Reuben Miller, Mergermarket’s global chief regulatory editor, based in Washington DC, joins Dealcast host Julie-Anna Needham to discuss the multi-fold impact of tariffs on dealmaking.China and the US are currently circling each other like fighters. Why does he see this as “a delicate dance”?Could Trump’s threat of tariffs on allies and competitors be a catalyst for demand for US manufacturing assets?Are the threats a negotiating position to gain concessions or a real statement of intent?All this and more in this week’s Dealcast, which was recorded on Tuesday 4 February.

While momentum from deal volumes in the second half of 2024 is expected to continue into 2025, there remains uncertainty and a lingering “wait and see” approach while the impact of certain policies under President Donald Trump, like tariffs, are still unknown. Sources also anticipate more megadeals this year as the US moves away from the antitrust environment that stopped deals, like the Kroger and Albertsons merger, for example.In addition, new consumer trends favoring health-conscious snacking and weight-loss drugs like Ozempic could change the shape of M&A targets, exemplified in Ferrero Group’s recent acquisition of Power Crunch.Brian Yue, Mergermarket’s New York-based consumer and retail reporter, joins Dealcast host Julie-Anna Needham to discuss the outlook for dealmaking in the sector this year, including:How the rise of weight-loss drugs like Ozempic could impact food & beverage dealsHow underlying consumer trends towards health & wellness will drive dealmakingHow Trump’s policies could impact the international food & beverage supply chain and labor forceAll this and more in this week’s Dealcast.

Azul’s non-binding proposal to merge with Gol to face antitrust challenge Trump’s interventionist rhetoric hangs over Mexican marketOne of the key ongoing deals in Latin America is designed to enhance the aviation industry in Brazil. Airline Azul entered a non-binding agreement to merge with its troubled peer Gol earlier this month. If the deal goes ahead, it will face tough antitrust scrutiny.Thiago Barrozo Mergermarket’s Latin America Editor, joins Dealcast host Julie-Anna Needham to discuss why the deal is so important at a time when the Brazilian currency is down against the dollar and interest rates are rising.Given the tough macro-economic environment, what other deals could we see in Brazil?How have US President Donald Trump’s threats of tariffs against Mexico affected dealmakers' moods in that country?How are deal volumes in Latin America?All this and more in this week's Dealcast