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Merger and acquisitions (M&A) in the MENA region grew 11 percent to $21 billion in the first quarter of 2022, according to a new report by data provider Refinitiv.
The UAE was the most targeted nation with $4.3 billion in activity this year, up 5 percent from the same period last year and accounting for 46 percent of all activity in the region.
“The largest MENA target M&A deal of the year so far is UAE’s hospital operator NMC Healthcare’s $2.25 billion sale to its creditors. Healthcare was the most active sector in MENA with $2.3 billion in deal activity, equivalent to a quarter of M&A activity in 2022,” Refinitiv said in the report.
The Financials sector followed, accounting for 15 percent of year-to-date (YTD) activity in 2022, albeit below the 25 percent notched in the same period last year.
Saudi Arabia was the second most targeted country with 23 percent of the deals YTD, Refinitiv data showed.
Deals valued at under $500 million has reached $4.6 billion so far this year, the strongest start to a year since records began in 1980.
MENA targeted M&A declined 29 percent from last year with $9.2 billion worth of M&A activity so far this year. Inbound M&A also fell 42 percent to $1.9 billion in 2022, while outbound M&A doubled in volume from last year reaching $8.8 billion.
Among investment banks, Goldman Sachs topped activity with any MENA Involvement M&A league table with $4.6 billion in related activity or a 22 percent share of the market. Lazard came in second spot with a 21 percent market share.
(Writing by Brinda Darasha; editing by Seban Scaria)
