In the previous weeks, we have been discussing M&A transactions from different regions across the globe. This week we will analyse the M&A activity in the Middle East and Africa.
Keeping in line with a majority of the world, the Middle East and Africa M&A activity declined in both numbers and value across the period 2019-2020. The difference was fairly staggering with the number of deals having fallen by 30% and the value by 32.5%.
Nonetheless, although MergerMarket recorded a lower number of deals and value, 2019-2020 saw the second highest yearly value for the Middle East and Africa! Thus, it appears there maybe a great deal of opportunity in this region in the coming years.
As a result of M&A transactions declining in the region by $97Bn USD, it is not surprising to report that many industries also recorded a decline in activity, such as Industrials & Chemicals (89%) and Technology (44%) sectors.
However, not all industries faltered. Mergermarket reported that Financial services saw its highest annual value in 2020, a 199% increase from the previous year, Energy, Mining & Utilities also saw a 39% rise in value which was similarly mimicked by the Consumer Sector who recorded a 32% increase.
To conclude, in what appears to have been a difficult year for all, the Middle East and Africa show signs of opportunity in the future.
This report was created by Ruby Datum with all data copyright reserved by MergerMarket.
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Keep your eyes pealed for more in-depth reports into each region coming soon!
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