Six years after the end of the financial crisis that reshaped the economy, it appears that big companies are finally willing to make big bets again. Mega-merger fever is increasing after the financial crisis, with a few potential blockbuster buyouts.
**Largest acquisition in brewing sector history, Confirmed not completed
AB InBev/ SAB Miller dealBehind AB InBev success, there is a wise, hardworking and extremely connected man.
Jorge Paulo Lemann!
Jorge Paulo Lemann, Brazil’s richest man (ranked as the 26th richest person in the world by Bloomberg Billionaire Index, 2015) and is relatively unknown outside Brazil but he is making significant waves at global scale due to his leadership approach and some very astute acquisitions.
"It takes the same effort to think small than to think big. But to think big frees you from the insignificant details.", Jorge Paulo Lemann
Jorge Paulo Lemann together with Carlos Alberto Sicupira and Marcel Herrmann Telles founded 3G Capital (2004). They have established themselves as the most audacious deal makers of the last decade.
So, who is Jorge Paulo Lemann?
He is a self-made billionaire ($26bn) and I think his fortune will continue to grow exponentially.
Some of his most famous deals...
Brazilian investment firm 3G Capital has used relentless ambition and big-name connections to become one of the world’s biggest acquirers of companies.
Now, he dreams in buying Coca-Cola... “We’d love to take a look at Coca-Cola,” Jorge Paulo Lemann
A far-fetched dream?
His track record shows that he loves high-profile brands and now he has a highly valuable partner - Warren Buffett. We know that both like to acquire low-beta stocks with substantial dividends and significant international exposure.
However, they adopt slightly different acquisition strategies. Warren Buffett takes passive role and largely remains on the sidelines, 3G Capital relentlessly pursues synergies and bigger brands.
3G Capital has a reputation for aggressively acquiring companies like Burger King and Heinz and slicing them down to size. The same is happening again at Kraft. In the past, he joked "“We could(Coca-Cola) run it with 200 people,”.
I think this deal will eventually happen.
The ascendance of 3G Capital and Mr. Lemann as major players on the global mergers-and-acquisition stage reflects the rise of Brazil as an economic power.
Brazil: The world's next economic superpower.
Please share your thoughts in the comments section below as I learn just as much from you as you do from me.
Ivan Fernandes provides Strategic Thinking and Planning (insight, data, media, technology, content and ecommerce), has 10+ years strategic marketing experience and data leadership.
New business growth, comes from new strategic thinking.
Open to a new challenge...
Ivan Fernandes, Founder and Managing Director at Digital Business Partners