UAE leads $69bn merger and acquisitions growth in MENA
The Middle East and North Africa (MENA) region has witnessed an increase in mergers and acquisitions this year, with 649 deals worth $69.1 billion closed in the first nine months of 2025, according to EY’s MENA M&A Insights report on November 4th.
The UAE came out on top as the region’s best destination for investors, noting the highest number and value of inbound transactions, 171 deals worth $29 billion.
The country also organised the largest deal in the MENA region between Austrian firms OMV and Borealis’ $16.5 billion purchase of a 64% stake in Abu Dhabi-based Borouge.
The United Arab Emirates and Kingdom of Saudi Arabia (KSA) dominated MENA’s M&A landscape, making up 85% of outbound deal value.
Recently, the World Bank revised its 2025 growth forecast for the MENA region. Â
According to the EY report, overall deal activity across the region increased by 23% when compared to the same period last year, fuelled by improved investor confidence and stronger economic fundamentals.  Â
Brad Watson, EY MENA Strategy, said, “The rise in cross-border deal activity showcases the growing appetite of companies for international expansion and portfolio diversification.”Â
“The shift toward mid-size transactions reflects a strategic focus on high-growth, innovation-driven sectors that support long-term economic development,” he added.Â
Cross-border deals made up more than half of all deals, marking the busiest nine-month period for cross-border M&A in five years.
Outbound investments from MENA totalled $28.5 billion across 189 deals.
Canada boasted the highest outbound deal value at $7.1 billion, while the UK was the most popular destination by quantity. Austria was the top inbound investor, as a result of the Borouge deal.
In the region, growth was led by the chemical and technology sectors, which contributed $23.9 billion and $12.2 billion, respectively.Â
Domestic M&A activity also grew substantially, accounting for nearly half of all deals, mainly in technology, healthcare and banking sectors.Â
Anil Menon, EY MENA Head of M&A, said, “The UAE maintained strong foreign direct investment (FDI) momentum, driven by its stable economy and investor-friendly policies. We expect the UAE & KSA to remain one of the most attractive deal markets globally.”
EY, Maghrebi.org
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