UAE Business: Mena records 359 M&A deals worth $42.6bn in H1 – Gulf Digital News

UAE Business: Mena records 359 M&A deals worth $42.6bn in H1 – Gulf Digital News

The Mena region recorded 359 merger & acquisition (M&A) deals worth $42.6 billion during the first six months of 2022, according to the Mena M&A Insights report released by professional services firm EY.

The increase in M&A activity represents a 12% year- on-year (YoY) rise in deal count, driven by continued post-pandemic economic growth across the region fostered by high oil prices and growing confidence in corporate boardrooms.

According to the report, domestic deals contributed 48% and 33% of the total M&A deal volume and value respectively over the six-month period. Although fluctuating crude prices, economic uncertainty and disruptions to global markets provided marginal impetus, deal activity was significantly driven by involvement of private equity (PE) or sovereign wealth funds (SWF).

M&A activity involving PE and SWFs accounted for 35% and 38% of the total deal volumes and values respectively in the first half of 2022. Among the domestic PE or SWF deals, the United Arab Emirates (UAE) was the most favoured destination with 18 deals, while the Kingdom of Saudi Arabia (KSA) was the most active acquiring region with 27 deals.

The report also revealed that deals involving government-related entities (GRE) saw a total deal value of $16.9 billion in the first half