UAE Leads Largest Mergers and Acquisitions Deals in the Middle East

The UAE has become the region's biggest deal maker, securing the Middle East's largest acquisition in the first nine months of 2025. Two major transactions put the country on the map: Austrian companies Borealis AG and OMV AG bought a 64% stake in Borouge for $16.5 billion, while ADNOC grabbed nearly half of Canadian chemicals giant Nova for $6.3 billion.

The numbers tell a clear story. The UAE recorded 171 deals worth $29 billion total, making it the top destination for incoming investment in the region. But here's where it gets interesting - the UAE and Saudi Arabia together dominated outbound deals too, accounting for 85% of all money flowing out of the Middle East and North Africa.

This isn't just about big numbers. The UAE's position reflects something deeper happening in the region's economy. The country has built a stable business environment with policies that actually welcome foreign investors, rather than creating obstacles.

The broader Middle East saw 649 deals worth $69.1 billion during this period - a 23% jump in deal volume. Gulf states drove most of this activity, handling 500 deals valued at $65.9 billion. Saudi Arabia claimed the third-largest deal when Aramco bought Peruvian fuel distributor Primax for $3.5 billion.

For investors, these mega-deals signal where the smart money is moving. The UAE's chemical and petrochemical acquisitions show companies are betting on the country's strategic location and infrastructure. ADNOC's move into Canadian chemicals particularly stands out - it's one of the biggest petrochemical deals globally this year.

The trend reflects broader economic shifts in the region. Digital economy expansion and strategic government support have caught foreign investors' attention. Countries that once relied mainly on oil exports are now becoming serious players in global M&A markets.

Anil Menon from EY-Parthenon Middle East and North Africa expects this momentum to continue. The improved economic outlook for the region, combined with the UAE's investor-friendly approach, positions both the UAE and Saudi Arabia as top global deal markets.

What makes this particularly significant is the UAE's dual role - it's both attracting major foreign investment and deploying capital internationally. This two-way flow suggests the country has moved beyond just being a regional hub to becoming a genuine global financial center.