The Middle East and North Africa (MENA) region recorded 701 merger and acquisition (M&A) deals in 2024, marking a 3% year-on-year increase, according to EY’s MENA M&A Insights 2024 report. The total deal value reached $92.3 billion, up 7% from 2023. The GCC region accounted for 580 deals worth $90 billion.
Cross-border transactions drove M&A activity, comprising 52% of total deal volume and 74% of deal value. Outbound deals contributed 61% of the total transaction value, with 199 transactions worth $56.6 billion. Inbound M&A activity saw 163 deals valued at $11.4 billion, an 18% rise in volume and a 42% jump in value from the previous year.
Key deals and market leaders
The largest M&A deal in the region was the $12.4 billion acquisition of Truist Insurance by Clayton Dubilier & Rice, Stone Point Capital, and Mubadala Investment. Saudi Aramco followed with an $8.9 billion acquisition of a 22.5% stake in Rabigh Refining and Petrochemical Company from Sumitomo Chemical. The third-largest deal was the $8.3 billion acquisition of a 60% stake in Zhuhai Wanda Commercial Management Group by PAG, Mubadala, and the Abu Dhabi Investment Authority (ADIA).
Sovereign wealth funds (SWFs), including ADIA, Mubadala, and Saudi Arabia’s Public Investment Fund (PIF), were among the region’s most active dealmakers.
Sector performance and investment trends
The technology and consumer products sectors led deal volume, each increasing 10% year-on-year. The oil and gas sector recorded the highest disclosed deal value, reaching $9 billion, primarily driven by Saudi Aramco’s Rabigh Refining acquisition.
“In 2024, the MENA region witnessed positive developments in the M&A space with a year-on-year increase in activity as well as overall deal value,” said Brad Watson, EY MENA Strategy and Transactions Leader. “The top five subsectors were insurance, asset management, real estate and hospitality, power and utilities, and technology – indicating a real interest in the innovative solutions that the MENA region can provide.”
UAE and Saudi Arabia drive M&A activity
The UAE led inbound transactions, recording 96 deals worth $7.6 billion, representing 67% of total inbound deal value. The country’s focus on AI, cybersecurity, and digital transformation fueled investment, with Microsoft’s $1.5 billion acquisition of Abu Dhabi-based Group 42 among the notable deals.
Saudi Arabia remained a key player, with 318 combined deals valued at $29.6 billion between UAE and KSA. The United States was the top destination for MENA investors, with 41 transactions totalling $19.9 billion.
Morocco, Qatar, Bahrain, Egypt, and Kuwait also ranked among the region’s top target and bidder countries.
Domestic M&A transactions on the rise
Domestic M&A activity increased slightly, with 339 deals in 2024, compared to 333 in 2023. The total disclosed value reached $24.4 billion, with technology and consumer products sectors accounting for 35% of domestic deal volume.
“In 2024, technology remained the most attractive sector for investors, accounting for 23% of total inbound and domestic deal volume,” said Anil Menon, EY MENA Head of M&A and Equity Capital Markets Leader. “We’re living through a productivity renaissance fueled by technology and AI, which will manifest in capital allocation and M&A.”
