Market Insights Financial Corporate Finance

Mergers and Acquisitions - Uganda

Uganda

The transaction value in the Mergers and Acquisitions market is projected to reach US$7.78m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of 60.41% resulting in a projected total amount of US$12.48m by 2025.
The average transaction value in the Mergers and Acquisitions market amounts to US$2.42m 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).

Market

Region

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Currency

Analyst Opinion

The Mergers and Acquisitions market in Uganda is experiencing a notable uptrend in activity.

Customer preferences: Ugandan businesses are increasingly looking to M&A deals as a strategic way to expand their market presence and diversify their operations. This trend is driven by the desire to gain a competitive edge, access new technologies, and enhance overall growth prospects.

Trends in the market: One of the key trends in the Ugandan M&A market is the rise of cross-border transactions. Local companies are seeking opportunities to partner with foreign entities to leverage their expertise and enter new markets. Additionally, there is a growing interest in sector-specific acquisitions, particularly in industries such as telecommunications, banking, and energy.

Local special circumstances: Uganda's regulatory environment plays a significant role in shaping the M&A landscape. The government's efforts to promote foreign investment and economic development have created a conducive atmosphere for mergers and acquisitions. Additionally, the country's stable political climate and improving infrastructure make it an attractive destination for investors seeking growth opportunities.

Underlying macroeconomic factors: The steady economic growth and increasing foreign direct investment inflows in Uganda are driving the M&A market forward. As the country continues to diversify its economy and focus on key sectors like agriculture, manufacturing, and services, there is a growing demand for strategic partnerships and acquisitions to capitalize on emerging opportunities. Furthermore, the stability of the Ugandan shilling and favorable interest rates are encouraging both domestic and international investors to engage in M&A activities 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.