BrazilM&A in Poland’s IT sector remained stable in 2024
The number of transactions in Poland’s IT sector remained stable in 2024, mirroring a similar trend across Europe, according to a new report from CMT Advisory and Fordata.
The market analysis of mergers & acquisitions (M&A) found that between early 2019 and September 2024, a total of 231 transactions were closed in Poland’s IT sector. The largest number of transactions took place in 2021 and 2022, when 52 transactions were closed annually.
Since 2022, the Polish market saw deal activity drop, which according to CMT Advisory mirrored the broader trend across Europe. “However, the downward trend on the Polish market started earlier than in the European market, as early as in the second half of 2022. This may have been influenced by the increased uncertainty caused by the proximity of the war in Ukraine, high inflation and the worsening economic situation,” said Jakub Multański, Manager at CMT Advisory.
For the nine months assessed this year, 21 transactions on blocks of shares or stakes in IT companies were completed on the Polish market, exactly the same number as in the corresponding period of 2023. Of the 2024 transactions, 12 involved companies with a SaaS model, while 7 deals involved IT companies offering a wider range of services.
Despite the slowdown in M&A activity, the report said that the IT sector has remained one of the key sectors in the Polish deals market. “In today’s digital age, almost every sector of the economy needs IT solutions, which makes this market segment attractive to investors. Acquisitions of IT companies offer not only access to state-of-the-art technology, but also the chance to strengthen market position, acquire employees and gain a competitive advantage,” said Multański.
Looking ahead, CMT Advisory and Fordata said that the emergence of new technologies such as artificial intelligence, cloud and cyber security will serve as the main drivers of deal activity. In addition, there still is considerable room for consolidation in the Polish IT market.
Marcin Rajewicz, an M&A expert at Fordata, stated: “Areas such as artificial intelligence, software and cloud services remain at the forefront of investor interest. Supported by the high availability of private capital (known as ‘dry powder’), coupled with favourable macroeconomic conditions, the IT sector faces the opportunity to maintain its growth momentum in future years as well.”
