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INVESTMENT BANKING FEES
- An estimated US$1.5 billion worth of investment banking fees were generated in the Middle East & North Africa during 2024, 24% more than the value recorded in 2023 and the third highest annual total in the region since our records began in 2000.
- Debt capital markets underwriting fees increased 59% to US$389.5 million, an all-time high, while equity capital markets underwriting fees increased 54% year-on-year to US$403.8 million.
- Advisory fees earned from completed M&A transactions totalled US$295.9 million in 2024, a 3% increase from year ago levels.
- Syndicated lending fees were flat compared to 2023, at US$449 million.
- Forty percent of all MENA fees were generated in the United Arab Emirates in 2024, followed by Saudi Arabia (38%).
- HSBC earned the most investment banking fees in the region during 2024, a total of US$107.3 million or a 7% share of the total fee pool.
MERGERS & ACQUISITIONS
- The value of announced M&A transactions with any Middle East or North African involvement reached US$75.0 billion in 2024, down 4% compared to year ago levels and the lowest annual total since 2020. The number of deals announced in the region increased 1% from 2023.
- Deals involving a MENA target totalled US$30.3 billion during 2024, down 8% from 2023 levels as domestic deals in the region declined 31% to a seven-year low of US$16.1 billion. Inbound deals, involving a non-MENA acquiror, increased 49% in value to a three-year high of US$14.2 billion.
- MENA outbound M&A totalled US$40.2 billion in 2024, a 3% decline from year ago levels.
- The largest deal with MENA involvement during 2024 was Adnoc’s US$17.6 billion takeover offer for German chemicals company Covestro.
- Industrials was the most active sector, accounting for 27% of MENA target M&A during 2024, followed by materials and the financial sector. The United Arab Emirates was the most targeted nation, followed by Saudi Arabia.
- Morgan Stanley took first place in the any MENA involvement announced M&A financial advisor league table during 2024, for their advisory work on deals worth a combined US$31.8 billion.
EQUITY CAPITAL MARKETS
- MENA equity and equity-related issuance totalled US$30.0 billion during 2024, a 126% increase from year ago levels and the highest annual total in the region since 2019. The number of issues increased 16% from year ago levels.
- Initial public offerings accounted for 41% of activity, while follow-on issuance accounted for 59%.
- A total of 54 initial public offerings were recorded during 2024, six more than in 2023 and the highest annual total since 2007. They raised a combined US$12.2 billion, a 12% increase from last year. Food delivery firm Talabat raised US$2.0 billion in its stock market debut in Dubai in November, the largest IPO in the region during 2024.
- Proceeds raised from follow-on offerings reached a 16-year high of US$17.9 billion, largely boosted by a US$12.3 billion stock sale by Saudi Arabia’s Aramco in June.
- The energy & power sector was most active with issuers raising a combined US$16.1 billion, accounting for 54% of total equity capital raisings in the region during 2024. Retail followed, accounting for 16%.
- EFG Hermes took first place in the MENA ECM underwriting league table during 2024, with a 9.6% market share.
DEBT CAPITAL MARKETS
- MENA bond issuance totalled US$119.6 billion during 2024, 66% more than the value recorded in 2023 and an annual total only exceeded once before, in 2020. The number of issues increased 86% over the same period.
- Saudi Arabia was the most active issuer nation during 2024 accounting for 45% of total bond proceeds, followed by the United Arab Emirates (33%), and Qatar (10%).
- Financial issuers accounted for 63% of proceeds raised during 2024, while Government & Agencies accounted for 23%.
- Islamic bonds in the region raised US$46.2 billion during 2024, a 44% increase from year ago levels and an all-time annual record. Sukuk account for 39% of total bond proceeds raised in the region, compared to 45% last year at this time.
- Standard Chartered took the top spot in the MENA bond bookrunner ranking during 2024 with US$11.2 billion of related proceeds, or a 9.4% market share. Standard Chartered also took first place in the MENA Islamic bonds league table.
