Panama, July 2026 – AFRA is pleased to announce that it advised Grupo Astara, an international company specialized in efficient automobile distribution, on its entry into the Panamanian market as the new official distributor of Volvo Cars. This transaction marks the start of Astara's operations in Central America and represents a milestone in the group's regional consolidation strategy.
AFRA's team provided comprehensive legal advice throughout the structuring and execution of the transaction, covering its corporate, regulatory, labor, and tax aspects, and supporting Grupo Astara at every stage of its establishment in the country.
The advisory was led by partner Alejandro Alemán, with support from partner Nelson Sales and associates Ana Cristina Negrón and Daniela Meana.
Panama, a strategic gateway to Central America
This transaction reaffirms Panama's appeal as a strategic hub for the growth of international companies in the region. Thanks to its geographic location, its dollarized and stable economy, and its well-established logistics, financial, and corporate services platform, Panama continues to solidify its position as the natural gateway for global companies seeking to expand their operations into Central America.
Grupo Astara's entry into the country comes amid sustained growth in the Panamanian market, where SUVs account for nearly 90% of sales in the premium segment, an ideal scenario for the company to capitalize on through its alliance with Volvo and its successful business model, already implemented in Colombia.
About the transaction
With this expansion, Astara rolls out in Panama its value proposition centered on efficiency, proprietary technology, data-driven insights, and a high-level customer experience, while also ensuring that, during the transition period, Volvo customers can continue to visit their official service center without any interruption.
At AFRA, we thank Grupo Astara for the trust placed in our team to support them through this important step, and we congratulate all parties involved on the successful completion of this transaction, which reaffirms Panama's role as a strategic platform for investment and regional expansion.