New Laws of Commercial Registration and Trade Names take effect on Thursday    Civil Defense warns of heavy rains across Saudi Arabia until Monday    Saudi Exchange suspends trading of seven companies over financial disclosure delays    New fleet of 76 public transport buses starts operation in Jeddah on Tuesday Environmentally friendly electric buses introduced for first time    Foreign investors are allowed to engage in real estate business outside Makkah and Madinah Commercial speculation should not be the purpose of real estate transaction    EU preparing 'further countermeasures' to protect its interest, von der Leyen says    Tesla sales plunge after backlash against Elon Musk    Musk's X is suing India, as Tesla and Starlink plan entry    Israel announces expansion of military operation in Gaza to seize 'large areas' of land    US cancels visa of Nobel Peace Prize winner Oscar Arias    Danish prime minister refutes US claim on Greenland on visit to the Arctic territory    Aubameyang fires Al Qadsiah into King's Cup final with stoppage-time winner over Al Raed    Cristiano Ronaldo joins Fatal Fury: City of the Wolves    Saudi Arabia welcomes trilateral border treaty between Tajikistan, Kyrgyzstan, and Uzbekistan    Swedish table tennis legend Jörgen Persson appointed head coach of Saudi national team    Danilo Pereira fires Al Ittihad into King's Cup final with dramatic stoppage-time double    Screen time in bed linked to insomnia, study finds    Mexico bans junk food in schools to fight childhood obesity epidemic    Sweet sales surge ahead of Eid as Saudi chocolate imports top 123 million kg in 2024    Saudi creatives shine at Jeddah's Fawanees Nights with art, fashion, and storytelling    Bollywood actress vindicated over boyfriend's death after media hounding    Grand Mufti rules against posting prayers and preaching in mosques on social media    King Salman prays for peace and stability for Palestinians in Ramadan message King reaffirms Saudi Arabia's commitment to serving the Two Holy Mosques and pilgrims    Bollywood star Saif Ali Khan 'out of danger' after attack at home in Mumbai    Exotic Taif Roses Simulation Performed at Taif Rose Festival    Asian shares mixed Tuesday    Weather Forecast for Tuesday    Saudi Tourism Authority Participates in Arabian Travel Market Exhibition in Dubai    Minister of Industry Announces 50 Investment Opportunities Worth over SAR 96 Billion in Machinery, Equipment Sector    HRH Crown Prince Offers Condolences to Crown Prince of Kuwait on Death of Sheikh Fawaz Salman Abdullah Al-Ali Al-Malek Al-Sabah    HRH Crown Prince Congratulates Santiago Peña on Winning Presidential Election in Paraguay    SDAIA Launches 1st Phase of 'Elevate Program' to Train 1,000 Women on Data, AI    41 Saudi Citizens and 171 Others from Brotherly and Friendly Countries Arrive in Saudi Arabia from Sudan    Saudi Arabia Hosts 1st Meeting of Arab Authorities Controlling Medicines    General Directorate of Narcotics Control Foils Attempt to Smuggle over 5 Million Amphetamine Pills    NAVI Javelins Crowned as Champions of Women's Counter-Strike: Global Offensive (CS:GO) Competitions    Saudi Karate Team Wins Four Medals in World Youth League Championship    Third Edition of FIFA Forward Program Kicks off in Riyadh    Evacuated from Sudan, 187 Nationals from Several Countries Arrive in Jeddah    SPA Documents Thajjud Prayer at Prophet's Mosque in Madinah    SFDA Recommends to Test Blood Sugar at Home Two or Three Hours after Meals    SFDA Offers Various Recommendations for Safe Food Frying    SFDA Provides Five Tips for Using Home Blood Pressure Monitor    SFDA: Instant Soup Contains Large Amounts of Salt    Mawani: New shipping service to connect Jubail Commercial Port to 11 global ports    Custodian of the Two Holy Mosques Delivers Speech to Pilgrims, Citizens, Residents and Muslims around the World    Sheikh Al-Issa in Arafah's Sermon: Allaah Blessed You by Making It Easy for You to Carry out This Obligation. Thus, Ensure Following the Guidance of Your Prophet    Custodian of the Two Holy Mosques addresses citizens and all Muslims on the occasion of the Holy month of Ramadan    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



M&A activity in MENA starts to pick up steam
Published in The Saudi Gazette on 28 - 04 - 2012

Merger and acquisition (M&A) activity in the Middle East appears to be picking up, according to the latest data by mergermarket, the global M&A intelligence service. For the first quarter 2012, the value of deals transacted was more than three times higher than the previous quarter - $4 billion compared with $1.68 billion in Q4 2011. Over the same period, the number of deals closed jumped from 21 to 35.
In 2011, the value of total deals stood at $12.5bn compared with $14 billion in 2010.
"This is positive news for the M&A industry in the Middle East for it shows that a degree of investor confidence is returning to the Middle East market despite the Arab Spring and crisis in the eurozone," said mergermarket's head of GCC and Middle East, Lucia Dore.
But the data also shows that although the number of deals in the region transacted is creeping back to pre-financial crisis levels, actual deal size is getting smaller. While it took 35 deals to reach the $4 billion figure this past quarter, back in Q3 2009 only 30 deals were required to achieve $11.1 billion.
For the 13 months to the end of the first quarter this year, the most buoyant sector proved to be industrials and chemicals with $4.2 billion worth of deals, constituting one-quarter of the total deal value of $16.5 billion. However, this sector saw a turn of fortunes in the first quarter of the year with no deal activity at all.
Other top-ranking sectors in terms of deal activity for 2011 were consumer ($2.9 billion) followed by technology ($2.3 billion), financial services ($1.8 billion), and the pharma, medical and biotech sectors ($1.5 billion).
However, over the 13-month period there was little deal activity in the telecom sector ($185 million), despite the considerable expectation that there would be. The low level of deal activity reflects the failed bid by Etisalat, the UAE telecom operator, for a 46 percent stake in Kuwait's telco Zain early last year. This was followed a few months later by a consortium comprising Batelco, the Bahraini telecom operator and Saudi investment firm, Kingdom Holding, abandoning their bid to acquire a 25 percent stake in Zain Saudi.
For the first quarter of the year, the consumer sector was one of the most buoyant ($1.2 billion), next to financial services ($1.3 billion). March saw a major transaction with the the takeover of Nasdaq Dubai listed jewelry chain, Damas International, by Qatari conglomerate, Mannai Corporation for $445 million. In February, a $134 million transaction also closed, with Turkish Coca Cola Icecek, buying an 85 percent stake in Iraq's soft drinks firm, Al Waha for Softdrinks, Mineral Water and Juices.


Clic here to read the story from its source.