This article has been researched and written by Marharyta Skavronska and the team at Creation Business Consultants and has not used AI in generating this article.
In the Kingdom of Saudi Arabia (KSA), Mergers and Acquisitions (M&A) have become a crucial aspect of the commercial environment. For companies looking for expansion prospects, knowing the M&A process is essential as the Kingdom’s economy continues to diversify and draw foreign investments.
This article provides an overview of the Saudi Arabian M&A scene, encompassing essential elements and significant factors to consider.
UP TO DATE FACTS ON M&A DEALS IN SAUDI ARABIA
Economic reforms and the Saudi Vision 2030 have led to a major surge in M&A activity in this industry in recent years. The nation offers a welcoming environment for investors, with programs focused at advancing industries including technology, healthcare, and tourism. Additionally, the easing of foreign ownership restrictions have prompted foreign investors to explore opportunities in the Saudi market. The launch of privatisation and national transformation programs as part of the Saudi Vision 2030 has increased M&A activity in the region. A few notable examples of recent M&A in Saudi Arabia are:
- SABIC with Saudi Aramco
- Souq.com by Amazon.
- Initial Public Offerings (IPOs) and dual listings increased on the Saudi Stock Exchange (Tadaul), providing exit opportunities for investors involved in M&A deals.