UAE remains top target country for Mena M&As in first quarter
According to the latest EY Mena M&A Insights 2024 report, Kuwait ranked second in terms of deal proceeds, reaching $2.3 billion, driven by two major transactions in the Diversified Industrial Products and Power & Utilities sectors.
The Mena region witnessed 225 M&A deals in Q1 2025, up from the 172 deals recorded in Q1 2024, reflecting a 31 per cent increase in deal volume when compared year-on-year. Total deal value rose by 66 per cent to $46 billion in Q1 2025, when compared to $27.6 billion in Q1 2024.
Cross-border deals were the primary driver of M&A activity in the Mena region, contributing 52 per cent of total deal volume with 117 deals and 81 per cent of total deal value at $37.3b. The first quarter of 2025 recorded the highest cross-border deal activity both in volume and value when compared to the same period in the past five years, as companies increasingly pursued growth and diversification beyond domestic markets.
Brad Watson, Mena EY-Parthenon Leader, said: 'In 2024 we saw a steady flow of M&A deals and the Mena region continues to exhibit a robust influx of M&A transactions in 2025. This is supported by regulatory reforms, policy shifts, and a favorable macroeconomic outlook, including easing interest rates and improved investor sentiment. This growth is also reflected in the steady increase of domestic M&A activity, which contributed 48 per cent of total deal volume in Q1 2025. The rise in domestic M&A transactions aligns with the IMF projection that Mena GDP will grow by 3.6 per cent this year and is further supported by the strong global M&A momentum. Companies are realigning their strategies to better accommodate the need for diversification, digital transformation, and the integration of emerging technologies.'
During the first three months of 2025, Canada attracted the highest outbound deal value from Mena investors at $6.4 billion, while the USA remained the preferred target destination in terms of deal volume.
Sovereign Wealth Funds (SWFs) like the Abu Dhabi Investment Authority, Saudi Arabia's Public Investment Fund and Mubadala, along with other government-related entities (GREs), remained key M&A drivers in Q1 2025, aligning with national economic strategies and diversification goals.
Domestic M&A activity continues to rise from previous years
In the first quarter of 2025, M&A activity in the Mena region witnessed a 20 per cent increase in deal volume while deal value rose significantly reaching $8.7 billion as compared to $1.69 billion recorded in Q1 2024.
The technology sector led domestic M&A activity in Mena in Q1 2025, contributing 37 per cent of total domestic deal value and 27 per cent of total domestic deal volume. The largest domestic deal during the first quarter of the year was a $2.2b acquisition where Group 42, an Abu Dhabi based AI and cloud computing firm, agreed to acquire a 40 per cent stake in Khazna Data Centres, a digital infrastructure provider.
Intraregional deals involving the UAE, Kuwait, and Saudi Arabia accounted for 83 per cent of total domestic deal value and 56 per cent of total domestic deal volume, highlighting strong intraregional M&A activity, particularly in the technology, industrials, and real estate sectors.
The Mena region continues to emerge as one of the most attractive destinations for foreign direct investment during the first few months of 2025, with inbound deal volume surging by 21 per cent and deal value reaching $17.6 billion, when compared to $2.5 billion in Q1 2024.
During the first three months of 2025, outbound deal volume increased by 63 per cent when compared to Q1 2024, with a total deal value of $19.7 billion, contributing 43 per cent of overall deal value. The UAE and Saudi Arabia led the outbound investment from the Mena region, accounting for 77 per cent of total deal volume and 94 per cent of total outbound value.
Though chemicals and oil and gas dominated in outbound deal value, outbound deal volume was primarily focused on technology, diversified industrial products, and professional services. This trend reflects the region's broader diversification strategy into high-growth global sectors.
The UK was the leading destination for outbound M&A deals from Mena by volume, recording 13 transactions in Q1 2025. Canada and Peru together contributed 50 per cent of total outbound deal value driven primarily by a major transaction in Canada's chemical sector. Adnoc and Austria's OMV agreed to acquire Canada's Nova chemicals for $6.3 billion by holding 46.94 per cent each in the newly formed Borouge International Group.
Anil Menon, Mena EY-Parthenon Head of M&A and Equity Capital Markets Leader, says: 'The Mena deal markets remained resilient despite lack of clarity on two fronts: the impact of monetary policy on cost of capital and the ongoing tariff and trade discussions. The Mena deal book for the remainder of 2025 is promising and we can expect to see increased activity in consumer, technology, and energy sectors. In addition, with AI expected to drive material shifts in fundamental value, we can expect to see significant capital allocation in technology.'
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
41 minutes ago
- Zawya
Ooredoo Kuwait Group reported a strong 6% growth in revenue to reach KWD 367mln in H1 2025
Nasser bin Hamad bin Nasser Al Thani: I have full confidence in our team's ability to capitalize on our strong results and execute our strategic priorities We will continue investing in our network to ensure high-quality service and strengthen customer trust Abdulaziz Yaqoub Al-Babtain: Our strategic partnerships with both public and private sectors played a key role in achieving these outstanding results We remain committed to our approach centered on operational efficiency, digital transformation, and sustainable innovation. Kuwait City, Kuwait: National Mobile Telecommunications Company K.S.C.P 'Ooredoo' (Ticker: OOREDOO) announced today its financial results for the six-month period ended 30 June 2025: Financial Highlights: Year on Year (YoY) – H1 2025 vs H1 2024 Consolidated revenue increased by a healthy 6% to KWD 367 million in H1 2025, compared to KWD 346 million in H1 2024. Revenue growth was supported by the strong operational performance in Algeria, Tunisia and Kuwait. Consolidated customer base increased by 4% to 26.4 million in H1 2025 compared to 25.5 million in H1 2024. EBITDA increased by 19% in H1 2025 to reach KWD 148 million compared to KWD 125 million in H1 2024. Normalizing for the impact of the one-off bad debt provision raised in H1 2024, EBITDA increased by a strong 14% YoY. Net profit attributable to NMTC increased by 65% to reach KWD 42 million in H1 2025 from KWD 25 million in H1 2024. Normalizing for the impact of the one-off bad debt provision raised in H1 2024, Net profit attributable to NMTC increased by a healthy 38% YoY. The consolidated earnings per share were 83 fils in H1 2025, compared to 50 fils earned in H1 2024. Sheikh Nasser Bin Hamad Al Thani, Chairman of the Board of Directors commented: 'NMTC maintained a solid growth trajectory into the first half of 2025 with particularly strong performances in Algeria, Tunisia and Kuwait. For H1 2025 we achieved a strong consolidated revenue growth of 6% YoY to KWD 367 million. Profitability continued to strengthen over the first half of 2025. EBITDA grew by 19% YoY to KWD 148 million with a corresponding EBITDA margin of 40%, while Net profit attributable to NMTC increased by a healthy 65% YoY to KWD 42 million. Normalizing for the impact of the one-off bad debt provision raised in H1 2024, Net profit attributable to NMTC increased by a healthy 38% YoY. Our ongoing investments in network enhancements and customer satisfaction have contributed to the solid performance in H1 2025. The team remains committed to innovation and operational improvements to consistently deliver a high-quality customer experience, resulting in a 4% YoY increase in our customer base to 26.4 million. Looking at the second half of the year, we will continue to invest in our network to provide high-quality connectivity, and to drive customer satisfaction through sales and service excellence. I remain confident in the team's ability to build on this solid performance, execute our strategic priorities, further enhance profitability, and position NMTC on a sustainable path for long-term, profitable growth. Commenting on the financial results for the first half of 2025, Mr. Abdulaziz Yaqoub Al-Babtain, Chief Executive Officer of Ooredoo Kuwait, stated: 'These positive results reflect the effectiveness of our long-term strategy, which focuses on operational efficiency, digital transformation, and sustainable innovation, with the customer experience at the heart of everything we do. The first half of this year marked a qualitative leap on several levels, including infrastructure enhancements, the expansion of strategic partnerships, high levels of customer satisfaction, and a series of prestigious local and international awards.' 'We concluded this period with a major technological milestone, the successful launch of our 5G Advanced network,' Al-Babtain added. 'This was accompanied by a series of innovative promotional campaigns, the first of their kind in the regional telecom sector, reflecting our leadership in delivering next-generation technologies while keeping the customer at the center of our innovation ecosystem.' He also highlighted the vital role of strategic partnerships at the beginning of this year. 'We strengthened our collaboration with global tech leaders in AI, such as NVIDIA, and launched several key initiatives with our success partners across both the private and public sectors. We are confidently progressing toward integrating AI into our services to boost efficiency and improve service quality.' On the value-added front for customers, Al-Babtain noted that Ooredoo Kuwait expanded its partnerships with leading companies in the retail, entertainment, and consumer goods sectors to further develop the flagship loyalty program Nojoom. 'Today, Nojoom is the most widely used and comprehensive program of its kind in Kuwait and the region. We've ensured it reflects modern lifestyles by offering daily rewards and a partnership network that enhances the customer experience and overall quality of life.' He also affirmed that having a balanced and integrated Board of Directors demonstrates the company's continued commitment to driving growth and innovation. 'The diverse expertise of our Board members strengthens our competitive edge, fosters a culture of inclusivity and innovation, and cultivates a workplace environment that supports both professional and personal development, pushing institutional excellence.' Al-Babtain added: 'We believe the steps we've taken toward sustained performance growth are fully aligned with our strategy, which has laid a solid foundation for our ambitious vision. We are pursuing this vision with a pioneering, innovative team, guided by our principles of corporate sustainability and reinforcing our position as a regional leader in digital transformation.' He also expressed pride in Ooredoo's teams across all departments, emphasizing that people are the true driving force behind the company's success. 'Thanks to our teams' dedication and our commitment to nurturing national talent,' he said, 'we've been recognized as one of the most inspiring workplaces and have received eight prestigious Stevie® Awards a testament to our excellence in digital innovation, app development, and digital platforms.' He concluded by reaffirming Ooredoo's commitment to executing its strategic plan, which is built around five core pillars: delivering exceptional customer experience, empowering national human capital, accelerating innovation, enhancing the efficiency of core operations, and placing the customer at the center of every decision. He said: 'Our journey continues and with it, our mission remains clear: We are here to upgrade the world of every customer. We look forward to a smarter, more connected future where we continue making a positive impact on our customers, partners, and community.' Review of Operations The Group's operational performance can be summarised as follows: Ooredoo – Kuwait Ooredoo Kuwait customer base increased by 1.3% to reach 2.9 million customers in H1 2025. The company's revenue increased by 1% to KWD 133 million in H1 2025. Additionally, EBITDA surged by 31% to KWD 45 million in H1 2025, up from KWD 34 million in H1 2024. EBITDA for H1 2024 was impacted by a one-off bad debt provision raised in line with standard company policy. When normalizing for this one-off provision, EBITDA grew by 14% YoY. Ooredoo – Tunisia In H1 2025 Ooredoo, Tunisia's customer base increased by 2%, reaching a total of 7.0 million customers. Revenue increased by 9% to KWD 67 million, compared to KWD 62 million in H1 2024. EBITDA for H1 2025 increased by 12% to KWD 28 million compared to KWD 25 million in H1 2024. Ooredoo – Algeria In H1 of 2025, Ooredoo Algeria's customer base increased by 6%, reaching a total of 14.5 million customers. Revenue for H1 2025 rose by 14% to KWD 129 million, compared to KWD 114 million in H1 2024. EBITDA increased by 21%, reaching KWD 58 million in H1 2025 compared to KWD 47 million in H1 2024. Ooredoo – Palestine In H1 2025, Ooredoo Palestine customer base stood at 1.5 million customers. Revenue decreased in H1 2025 to KWD 16 million and EBITDA decreased to KWD 6 million for the same period. The performance continued to be impacted by the ongoing conflict in Gaza and the West Bank. Ooredoo - Maldives In H1 2025, Ooredoo Maldives' customer base increased by 4% to 418 thousand customers. Revenue for H1 2025 was KWD 22 million, while EBITDA stood at KWD 12 million. For more information, please visit -Ends- For Media Inquiries: Ooredoo (NMTC) Naser AlArfaj , PR & Media PO Box 613, Safat 13007, Kuwait E-mail: nalarfaj@ About Ooredoo Kuwait (NMTC) Commercially launched in December 1999, the Company's share price as of 30 June 2025 was KWD 1.093, giving a market valuation for Ooredoo (NMTC) of KWD 0.5 billion.
Zawya
41 minutes ago
- Zawya
Dubai Municipality participates in Dubai Dates Festival
Dubai, United Arab Emirates: Dubai Municipality has announced its participation in the Dubai Dates Festival, taking place from 25 July to 1 August 2025. The Municipality will showcase its advanced laboratory services, agricultural initiatives, and food safety programmes, while promoting environmental sustainability and engaging the public on recycling and community wellbeing. The initiative reflects Dubai Municipality's commitment to supporting national products and contributing to a sustainable and secure food ecosystem. Its participation aligns with the emirate's broader vision of health, safety, and economic prosperity through high-quality municipal services. Dr Naseem Mohammed Rafea, Acting CEO of the Health and Safety Agency at Dubai Municipality, said: 'The Dubai Dates Festival is a celebration of one of the region's most valued agricultural products and an opportunity to reinforce the importance of food safety, innovation, and sustainability. Our participation reflects Dubai Municipality's ongoing commitment to ensuring product quality through precise, advanced laboratory testing, while supporting farmers and promoting a culture of health and environmental awareness.' Throughout the festival, the Dubai Central Laboratory will conduct daily on-site testing of date samples from exhibitor booths using its Mobile Food Testing Lab. Equipped with advanced technologies, the lab enables rapid analysis and provides accredited results that meet the highest international safety standards. This capability ensures immediate regulatory response to any contamination risks, safeguarding public health and reinforcing consumer confidence. Dubai Municipality will also highlight its agricultural programmes and technical services that support local farmers through education, guidance, and sustainable practices. These initiatives enhance productivity, reduce environmental impact, and contribute to the preservation of palm trees as part of Dubai's ecological and cultural heritage. As part of its scientific pest control efforts, the Municipality will present its integrated management programmes targeting pests such as the red palm weevil. Live demonstrations and expert consultations will be available at the booth, along with insights into modern palm offshoot tissue culture techniques and Dubai Municipality's free home palm pest control services. For Media Inquiries, Please Contact:
Zawya
41 minutes ago
- Zawya
UN HLPF 2025: GEEP, NYU launch Global Ideation Lab
H.E. Abdulla Lootah: The UAE's knowledge-sharing approach is comprehensive. It leverages contributions across sectors, both locally and globally, while providing an environment for the creation of innovative ideas and impactful development solutions The Global Ideation Lab, co-hosted by GEEP and NYU, helps build a global sandbox for innovative ideas, provides a creative open space, and gathers thought leaders and policymakers from government, academia, and university students The Ideation Lab highlighted the developmental role of initiatives that support global partnerships, including the UAE's GEEP, which serves as an incubator for cross-border partnerships and an effective knowledge-sharing platform New York, USA – The Government Experience Exchange Programme (GEEP), under the UAE Ministry of Cabinet Affairs, launched a Global Ideation Lab in collaboration with New York University (NYU). The Ideation Lab was held alongside the UAE delegation's participation at the High-Level Political Forum (HLPF) on Sustainable Development 2025, organized by the United Nations Department of Economic and Social Affairs at the UN Headquarters in New York City. It brought together leading experts, academics, UN officials, diplomats, policymakers, and university students to explore new prospects in government sector innovation and global cooperation. The session drew participation from 26 ministers, experts, academics, and UN officials, including Annemarie Hou, Executive Director of the UN Office of Partnerships, and Patrick Paul Walsh, Vice President of Education and Director of the SDG Academy at the UN Sustainable Development Solutions Network (SDSN). Attendees also included sustainability officials and diplomats from countries such as Switzerland, Portugal, Ireland, Serbia, Paraguay, Bahrain, Uzbekistan, Qatar, Kingdom of Eswatini, and others. Members of the UAE delegation to the HLPF, officials from NYU's administrative and academic bodies, and 30 students from NYU, Stanford, and the University of Pennsylvania also participated. Global Ideas Sandbox The Ideation Lab helps build a global ideas sandbox and provides a creative open space. It highlighted the developmental role of comprehensive initiatives supporting global partnerships, particularly the UAE's GEEP, which serves as an incubator for scalable cross-border partnerships and an effective knowledge sharing platform. UAE Commitment to Expanding Partnerships His Excellency Abdulla Nasser Lootah, Assistant Minister of Cabinet Affairs for Competitiveness and Experience Exchange and Chair of the National Committee on Sustainable Development Goals, stated that the UAE's knowledge-sharing approach is comprehensive, leveraging contributions across sectors locally and globally. This approach provides an environment for creating innovative ideas and impactful development solutions. 'In the UAE, we have successfully built a pioneering model for international cooperation based on knowledge exchange with countries and governments, and GEEP is a crucial part of this endeavor,' Lootah said. 'We are committed to involving various sectors, particularly academia, and cooperating with everyone in developing solutions to urgent global challenges, including developmental challenges, and expanding frameworks for sharing, transferring, and exchanging best government practices to help achieve sustainable development.' He added: 'The joint Global Ideation Lab between GEEP and NYU exemplifies the collaborative approach we adopt in the UAE to develop best practices that enhance readiness for present and future opportunities.' Challenge and Solution Model The Global Ideation Lab adopted a collaborative approach between GEEP and NYU, centered on posing challenges, linking academic insights with practical governance, and involving various stakeholders in designing partnership-based and scalable solutions. The session outcomes contributed to aligning knowledge inputs with policy, empowering stakeholders to participate in developing innovative solutions to urgent governance challenges, and accelerating progress towards the 2030 SDGs. UN High-Level Political Forum The HLPF on Sustainable Development is the UN's central platform for reviewing and advancing SDGs. Established in 2012, the forum plays a pivotal role in monitoring national and international progress on the 2030 Agenda. Participating delegations assess progress toward the SDGs, with this year's forum featuring in-depth reviews of five priority goals: SDG3 (ensuring healthy lives and promoting well-being for all at all ages); SDG5 (achieving gender equality and empowering all women and girls); SDG8 (promoting sustained, inclusive, and sustainable economic growth, full and productive employment, and decent work for all); SDG14 (conserving and sustainably using the oceans, seas, and marine resources for sustainable development); and SDG17 (strengthening and revitalizing the Global Partnership for Sustainable Development).
