Market Insights Financial Corporate Finance

Mergers and Acquisitions - Albania

Albania

The transaction value in the Mergers and Acquisitions market is projected to reach US$12.51m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of 137.89% resulting in a projected total amount of US$29.76m by 2025.
The average transaction value in the Mergers and Acquisitions market amounts to US$4.43m in 2024.
From a global comparison perspective, it is shown that the highest transaction value is reached in the United States (US$1,359.00bn in 2024).

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Analyst Opinion

The Mergers and Acquisitions market in Albania is experiencing a notable uptick in activity.

Customer preferences: Albanian customers in the M&A market are showing a growing interest in cross-border transactions, seeking opportunities to expand their businesses beyond the local market. Additionally, there is a preference for strategic acquisitions that can provide access to new technologies and markets.

Trends in the market: One of the prominent trends in the Albanian M&A market is the increasing participation of foreign investors. These investors are attracted by the country's strategic location, potential for growth, and favorable investment climate. Moreover, there is a noticeable trend towards consolidation in certain sectors, as companies look to strengthen their market position through acquisitions.

Local special circumstances: Albania's transition to a market-oriented economy and its efforts to improve business regulations have created a conducive environment for M&A activities. The country's strategic location at the crossroads of Europe and Asia also makes it an attractive destination for investors looking to establish a presence in the region. Furthermore, the government's initiatives to attract foreign investment and promote economic development have further fueled M&A transactions in the country.

Underlying macroeconomic factors: The stable economic growth, increasing foreign direct investment, and ongoing structural reforms in Albania have contributed to the rise in M&A activities. The country's efforts to improve infrastructure, enhance business competitiveness, and strengthen the rule of law have instilled confidence in investors, driving M&A deals across various sectors. Additionally, Albania's potential for further integration into regional and global markets is also a key factor attracting M&A interest in the country.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.