PERU Trends and Developments Contributed by: Carlos A. Patrón, David Kuroiwa and Vania Cruz, Payet, Rey, Cauvi, Pérez Abogados
legality and affect the predictability of the market and investments. In this line, they requested that INDECOPI’s power to review transactions that did not exceed thresholds be declared illegal. In 2022, the Superior Court of Justice of Lima declared, through a ruling, the legality of the Regulation of the Merger Control Law, confirm - ing that INDECOPI has the power to review mergers ex officio up to one year after they are carried out and that they are below the thresh - olds established in the regulations. In 2024, the Supreme Court of Justice of Lima ratified the decision issued by the Superior Court of Lima. Trends and Outlook for 2025 M&A The review of transaction notifications by INDECOPI depends directly on the number of M&A transactions that occur in the market. Therefore, the projection of M&A transactions in the market influences the number of transac - tions that INDECOPI will review this year. So far in 2025, Peru has shown relative macro - economic stability. Effective inflation manage - ment across the region could continue to attract foreign investment and stimulate M&A activity. Companies may look to consolidate to improve efficiency, enter new markets, acquire technol - ogy and capabilities, and gain other strategic advantages. At the same time, investment by Chinese com - panies in Latin America – particularly in Peru – is on the rise, spurred in part by the upcoming inauguration of the Port of Chancay in Novem - ber 2024. Chinese interest is especially strong in sectors such as mining, infrastructure, trans -
portation and energy, with potential expansion into technology. Nevertheless, it is important to consider that Peru’s presidential elections are scheduled for 2026. This could lead to increased investor cau - tion in the second half of 2025, as political and economic uncertainty rises. Historically, M&A activity tends to slow during the fourth year of a government term (Peruvian presidential terms last five years), with many companies opting to wait for clarity regarding the next administra - tion’s policy direction. Political uncertainty may also contribute to financial market and exchange rate volatility, potentially affecting company valu - ations and the feasibility of certain transactions. Merger control regime As of May 2025, INDECOPI is evaluating seven requests for authorisation of transactions. Con - sidering the conditions of the M&A market, it is expected that in 2025, the authority will receive a number of applications like 2024 (between 20 and 25 requests for authorisation of transac - tions) or slightly lower (influenced by political noise in the second half of 2025). On interesting cases in progress, this year the authority will have to decide on a case that is currently in Phase II, linked to the hydrocarbons market. The authority is expected to resolve this case at the beginning of the second half of 2025. In addition, following the trend of recent years, in 2025, INDECOPI could start Phase II in one or two cases. It is necessary to specify that, histori - cally, since 2022, INDECOPI has started Phase II in at least one case per year, with 2023 being the year where the most cases went to Phase II (four cases). Almost all the cases that have passed to Phase II have finally been approved with rem - edies (except for a case that was denied).
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