INVESTMENT BANKING FEES

  • An estimated US$372.2 million worth of investment banking fees were generated in the Middle East & North Africa during the first quarter of 2025, 25% more than the value recorded last year at this time and the third highest first quarter total in the region since our records began in 2000.
  • Debt capital markets underwriting fees increased 6% to an all-time first quarter high of US$152.4 million, while equity capital markets underwriting fees increased 147% to a two-year high of US$70.2 million.
  • Advisory fees earned from completed M&A transactions totalled US$92.5 million, more than double the value registered last year at this time and a first quarter total only exceeded twice before since our records began in 2000.
  • Syndicated lending fees declined 47% compared to year ago levels to US$57.1 million. 
  • Thirty-nine percent of all MENA fees were generated in Saudi Arabia during the first quarter of 2025, followed by the United Arab Emirates.  (38%).
  • HSBC earned the most investment banking fees in the region during the first quarter of 2025, a total of US$46.7 million or a 13% share of the total fee pool.

LSEG Investment Banking fees are imputed for all deals without publicly disclosed fee information.  

MERGERS & ACQUISITIONS

  • The value of announced M&A transactions with any Middle East or North African involvement reached US$66.4 billion during the first three months of 2025, boosted by ADNOC and OMV’s agreement to merge chemicals firms Borouge and Borealis, and to acquire Canada’s Nova Chemicals.  The figure is over eight-times higher than the level of M&A activity recorded in the region during the same period last year, and a first quarter total only exceeded once before since our records began in 1980.  The number of deals announced in the region increased 22% to the highest level in three years.
  • Deals involving a MENA target reached a six-year high of US$43.9 billion, more than nine-times the value recorded last year at this time.
  • MENA outbound M&A totalled US$22.5 billion during the first three months of 2025, an all-time first quarter record.  The number of outbound deals increased 24% from year ago levels.
  • Materials was the most active sector, accounting for 73% of MENA target M&A by value during the first quarter of 2025.  The financial sector saw the highest number of deals.  The United Arab Emirates was the most targeted nation, followed by Saudi Arabia.
  • Goldman Sachs took first place in the any MENA involvement announced M&A financial advisor league table during the first quarter of 2025, for their advisory work on deals worth a combined US$50.6 billion.

EQUITY CAPITAL MARKETS

  • MENA equity and equity-related issuance totalled US$4.7 billion during the first quarter of 2025, more than three-times higher than year ago levels and the highest first quarter total in the region since 2008.  The number of issues increased 23% from year ago levels.
  • Initial public offerings accounted for 34% of activity, while follow-on issuance accounted for 66%. 
  • A total of 12 initial public offerings were recorded during the first quarter of 2025, three more than last year at this time.  They raised a combined US$1.6 billion, a 73% increase from last year.  In March, Umm Al Qura Development & Construction Co raised US$522.9 million in its stock market debut on the Saudi Exchange, the largest IPO in the region so far this year.
  • Proceeds raised from follow-on offerings reached a seventeen-year high of US$3.1 billion, largely boosted by ADNOC Gas’ US$2.8 billion share sale in February.
  • The energy & power sector was most active with issuers raising a combined US$2.8 billion, accounting for 60% of total equity capital raisings in the region during the first quarter of 2025.  Real Estate followed, accounting for 11%. 
  • HSBC took first place in the MENA ECM underwriting league table during the first quarter of 2025, with a 24% market share, followed by EFG Hermes with 12%.

DEBT CAPITAL MARKETS

  • MENA bond issuance totalled US$53.5 billion during the first quarter of 2025, 27% more than the value recorded last year at this time and the highest first quarter total since our records began in 1980.  The number of issues increased 29% over the same period, besting all previous first quarter tallies.  
  • Saudi Arabia was the most active issuer nation during the first quarter of 2025 accounting for 58% of total bond proceeds, followed by the United Arab Emirates (18%), and Qatar (11%).
  • Financial issuers accounted for 47% of proceeds raised during the first quarter of 2025, while Government & Agencies accounted for 41%. 
  • Islamic bonds in the region raised US$16.78 billion during the first quarter of 2025, just topping last year’s total of US$16.75 billion to reach an all-time first-quarter record. Sukuk account for 31% of total bond proceeds raised in the region, compared to 40% last year at this time. 
  • HSBC took the top spot in the MENA bond bookrunner ranking during the first quarter of 2025 with US$6.0 billion of related proceeds, or an 11% market share.  HSBC also took first place in the MENA Islamic bonds league table.