M&A deals in GCC countries decline 51% in Q1 - Markaz

UAE’s logistics sector topped M&A transactions in the GCC

  

The number of merger and acquisition (M&A) transactions across the Gulf Cooperation Council (GCC) member countries decreased by 51% year-on-year (YoY) during the first quarter (Q1) of 2020, due to the coronavirus disease (COVID-19).

The number of deals declined to 24 in Q1-20, versus 49 during Q4-19, according to a recent report issued by the Investment Banking Department at Kuwait Financial Centre “Markaz”.

UAE’s logistics sector topped M&A transactions in the GCC countries in the first three months of 2020, especially after the Port & Free Zone had announced its intention to acquire a 20% stake in DP World for $2.7 billion.

Meanwhile, the third and fourth largest transactions in the GCC carried out among UAE buyers, including Gulf Capital's full acquisition of IVI-RMA Middle East for $100 million, while Mastek Arabia acquired 100% of the Middle Eastern arm of Evolutionary Systems Arabia for $65 million.

Most of the transactions, completed in Q1-20, were conducted by GCC acquirers, representing 92% of the total number of transactions, while foreign acquirers accounted for 4% of the total deals.

The majority of GCC acquirers entered into acquisition agreements with local or GCC companies, with the UAE, Kuwait, and Saudi Arabia representing the most active players at a local level.

Source: Mubasher

All Rights Reserved - Mubasher Info © 2005 - 2020 Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.

More From Equities