According to a KPMG study, Ukraine’s M&A market showed positive trends in the first half of the year. The revival of domestic deals and strategic acquisitions both domestically and abroad contributed to a 26% increase in the number of transactions and a 21% rise in their value.
Overall, 34 M&A deals were finalized in Ukraine during this period, with the total value of disclosed agreements reaching $716M. Although financial details are disclosed for only 50% of these, the average size of these deals rose to $42M from $37M last year. The key drivers of this growth included the acquisition of Spanish meat producer Uvesa by the MHP agroholding for $270M, as well as Kyivstar’s purchase of Uklon for $155M.
“Deals such as Kyivstar-Uklon and MHP-Uvesa demonstrate a strategic desire for business expansion and integration, especially in the technology and agri-food sectors. Despite cautiousness among foreign investors, local leaders are actively investing to strengthen their positions and build future business models”, noted KPMG analysts in Ukraine.
Meanwhile, the number of deals involving foreign investors acquiring Ukrainian assets decreased to four in the first half of the year, down from six last year.