Merger and acquisition (M&A) activity in the Middle East has surged to unprecedented levels in 2024, with the UAE and Saudi Arabia at the forefront of a record-breaking $36 billion in deals within the first ten months of the year.
Remarkable Growth in M&A
The region’s M&A volume grew by 88% year-on-year, according to Bain & Company, as strategic investments by sovereign wealth funds (SWFs) and government-backed entities fueled the market.
Saudi Arabia and the UAE led the charge, contributing to 239 deals worth $24.5 billion between January and September, according to EY. The surge in activity reflects the Middle East’s growing stature as a global investment hub.
Key Drivers of the Boom
Saudi and Emirati SWFs played a pivotal role, driving domestic deals while targeting international markets. “The Middle East’s exceptional M&A growth underscores the region’s transformation into a global investment powerhouse,” said Gregory Garnier, Bain’s Middle East Head of Private Equity and SWF practices.
The most significant deals came from energy, technology, and advanced manufacturing sectors, aligning with regional efforts to diversify economies. A significant merger was the acquisition of Truist Insurance Holdings for $12.4 billion by a consortium including Mubadala Investment Company, Clayton Dubilier & Rice, and Stone Point Capital.
Regional Implications
The sharp rise in M&A activity highlights the region’s evolving economic landscape, driven by diversification efforts in line with long-term visions such as Saudi Vision 2030 and UAE Centennial 2071.
As Middle Eastern nations leverage their wealth funds and strategic assets, the focus on cross-border and domestic deals signals sustained growth in the global investment arena.
With a strong pipeline of deals and continued focus on high-growth sectors, the region’s M&A momentum is poised to continue shaping the global financial landscape in 2025.
