Form D watch: UAE Leads targets Not applicable for market

UAE Leads $10.4 Billion MENA Equity Market as Saudi Activity Slows

Market Context

The Middle East and North Africa (MENA) equity fundraising market experienced a significant slowdown in the first nine months of 2025, with a 51% decline in total value to $10.4 billion. This drop came amid global market uncertainty and tighter liquidity, making it more challenging for companies to raise large amounts of capital.

Strategic Implications

Despite the overall decline in total value, the number of deals increased by 12%, reaching the highest level for any nine-month period since 2008. This suggests that companies are still actively seeking funding, but on a smaller scale. Investors have become more cautious, favoring stable, dividend-paying companies over riskier ventures.

PE Angle

While equity fundraising slowed, mergers and acquisitions (M&A) in MENA surged 166% to $157.3 billion. This indicates that private equity and institutional investors are actively seeking opportunities to deploy capital in the region, potentially through strategic acquisitions or consolidation plays. The energy and power sectors led the market, raising $3.5 billion, which could be of particular interest to PE firms.

Key Takeaways

• MENA equity fundraising fell 51% to $10.4 billion in the first nine months of 2025, as global uncertainty and tighter liquidity made it harder for companies to raise large amounts of capital.
• The UAE performed the best in the region, raising $5.22 billion, up 58% from last year, while Saudi Arabia saw a 74% decline in fundraising to $4.49 billion.
• Despite the overall slowdown, M&A activity in MENA surged 166% to $157.3 billion, indicating that private equity and institutional investors are actively seeking opportunities in the region, particularly in the energy and power sectors.

Sources

• The Arab Today Business