Lumina launches its 2024 CrossBorder M&A Survey on Bloomberg News

7 Oct

Senior Partner Andrew Nichol speaks with Joumanna Bercetche on the Horizons Middle East and Africa show. Key highlights of the conversation were:

Overall strength in the cross-border M&A market seen with strong deal activity and 70% of respondents expecting more activity in 2025
Why the mega ADNOC / Covestro deal is an example of both global diversification as well as an opportunity to expand regional localisation
How it’s not just SWF and Government led deals, but fast growth seen in the private sector, mid-market deals ($25m-$250m) with industrials, infra, retail and business services leading activity
How equity still leads as a funding source but rapid development in mezzanine in 2024 (up from 20% to 29%)
Key challenges to the deal environment remain: regional and global geopolitical tensions increasing risk premiums for multi-jurisdictional companies, a lack of suitable GCC targets, valuation alignment and deal delays / timing
The GCC will start to compete at the global level for board attention for M&A activity. Why? As interest rates come down more deals Europe / USA volumes will grow

A link to the full interview is here.

Lumina’s 2024 GCC-UK Cross Border M&A Survey