Business
PRESSR: MENA M&A activity witnessed 425 deals valued at $58.7bln in H1 2025
PRESSR: MENA M&A activity witnessed 425 deals valued at $58.7bln in H1 2025
About this update from Borouge Plc
Cross-border M&A reached a five-year high, accounting for 55% of total deal volume and 78% of total deal valueGovernment-related entities and sovereign wealth funds contributed US$21b in deal value across 54 transactions during H1 2025According to the latest EY MENA M&A Insights report, the MENA region recorded 425 M&A deals in the first half of 2025, marking a 31% increase in deal volume and a 19% rise in total value to US$58.7b compared with the same period in 2024.This performance builds on the steady flow of transactions seen in 2024, with strong momentum in early 2025 supported by regulatory reforms, policy shifts, and an improving macroeconomic outlook. While activity moderated slightly in Q2 due to evolving global trade policies and regional conflicts, overall market sentiment remained positive, with deal-making driven by diversification strategies and growth in high-potential sectors.Brad Watson, MENA EY-Parthenon Leader, says:“The positive performance in the first half of 2025 underscores the strength, dynamism, and resilience of MENA’s M&A market. We are witnessing record-breaking cross-border activity as investors look beyond short-term volatility, actively pursuing scale, innovation, and new market opportunities. The United Arab Emirates (UAE), in particular, remains a magnet for global capital, supported by a stable regulatory framework and a focus on economic diversification, while regional partnerships with Europe, Asia, and North America are opening doors to fresh growth channels.”In the MENA region, the UAE and the Kingdom of Saudi Arabia (KSA) received investments worth US$25.4b and US$2.5b, respectively, mainly in chemicals, technology, industrials and real estate – attracting a combined total of US$27.9b in the first half of this year.Cross-border deals reach five-year highCross-border transactions accounted for 55% of total deal volume and 78% of total deal value in H1 2025, with 233 deals worth US$45.9b – the highest level in the past five years. Chemicals and technology together contributed 67% of cross-border deal value, led by major transactions such as Borealis AG and OMV AG’s acquisition of a 64% stake in Borouge plc for US$16.5b. This reflects a 40% increase in deal volume and 7% rise in deal value when compared to H1 2024.Anil Menon, MENA EY-Parthenon Head of M&A and Equity Capital Markets Leader, says:“MENA’s dealmaking conti...