The war has not halted the Ukrainian M&A market, but it is altering its priorities.

The increase in overall activity among international investors last year in the M&A sector may provide an additional impetus for inward investment in Ukraine. Despite the war and the accompanying uncertainty, Ukrainian companies have shown a desire to grow through diversification and international expansion, which helps maintain economic activity. One of the key factors driving domestic deals is Ukrainian companies’ accumulation of capital, which creates a demand for investment opportunities. Coupled with the introduction of war risk insurance mechanisms and state initiatives to restore infrastructure, this fosters favorable conditions for growth in the M&A market. Amid a moderate economic recovery, with GDP growth reaching approximately 3.6%, the M&A market experienced some relative stability last year. The number of deals matched that of 2023 (49), and the total disclosed value is around $1.1B. Privatization efforts, which yielded record revenue of ₴12B ($300M) in 2024, demonstrate the Ukrainian government’s commitment to attracting strategic investment in the future.