Uncertainty is no longer exceptional: factors shaping the mergers and acquisitions market today
In recent years, public debate has tended to attribute M&A dynamics to the current government or the local political climate. While institutional stability and regulatory predictability influence investor appetite, reality goes beyond this simplistic view: we are a market deeply connected to global macroeconomic variables that lie beyond the domestic sphere.
TL;DR
- Global macroeconomic variables, particularly interest rates, have a more significant impact on M&A than local political factors.
- High global interest rates in 2023-2024 increased financing costs, reduced transactional activity, and widened valuation gaps between buyers and sellers.
- Global M&A activity rebounded in 2025, driven by large-scale transactions in sectors like AI, digital infrastructure, and energy transition.
- Colombia's M&A market showed a moderate recovery in 2025, with notable activity in renewable energy and software/tech services.
- Businesses and investors are adapting to structural uncertainty by adjusting risk analysis, contractual protections, and financing structures.
- Attracting sophisticated capital requires legal stability and regulatory clarity, not just growth opportunities.
- The M&A market responds to fundamentals and clear regulatory frameworks, even amidst volatility.