Egypt’s mergers and acquisitions (M&A) value increased by 285.6%, reaching $1.5 billion in 2018 with a total of 14 deals, compared to $389 million in 2017 that had only 10 deals, according to Mergermarket.
The M&A deals value grew due to several deals in the energy, mining, and utilities sectors. These included Mubadala’s acquisition of 10% in the Zohr oil field from Eni, and Soco International’s acquisition of Merlon Petroleum El Fayoum Company.
Egypt’s share in the MENA M&A deals has increased to 6.3% in 2018, compared to 2.5% in 2017.
“The structural reforms to the investment climate in Egypt, as part of the economic reform program, including reforms to subsidies, monetary and fiscal policies along with a new investment regime have all been factors boosting confidence of funds and private equity players in the Egyptian market,” Mohamed Khodeir, Partner & Head of Capital Markets at Al Tamimi, commented.