Romania’s M&A market closes 2024 with $6.6 billion in deal value

Romania’s mergers and acquisitions (M&A) market ended 2024 with a mixed bag of fortunes, with deal volume up on the year previous, but deal value down by around $350 million. That is according to analysis by EY.

The study from the global accounting and advisory firm found that in 2024, 265 transactions closed with an estimated value of $6.6 billion. This meant a 10.0% rise in deal count on a yearly basis (241 deals in 2023), and a 5.9% decrease in value ($7.1 billion in 2023).

Strategic investors retained their dominant hold on the Romanian M&A market in 2024, accounting for 91% of transactions volume and marking their largest share of the market in six years. In comparison, in most Western markets, financial sponsors such as private equity funds of family offices have a much large share in the number of deals closed.

The local M&A scene was headlined by the sale of a 629 MW renewable energy portfolio by Evryo Group (previously CEZ) to Public Power Corporation (PPC), the main electric power company in Greece for $768 million. The acquisition of Hungary-based OTP Bank’s operations in Romania by Banca Transilvania, for a consideration of $375 million, was Romania’s second-largest transaction in 2024.

By sector

The most active sector by deal volume was real estate, hospitality & construction, which recorded a 19.5% increase in 2024, with deal volume rising to 49 (representing 18% of the number of transactions).

Notably, the energy & utilities sector saw a 52% year-on-year growth in deals, driven by a twofold increase in deal volume to 38 deals (versus 19 in 2023) within the renewable energy sub-sector. “This growth showcases Romania’s emergence as a prime destination for renewable energy investment, supported by its rich natural resources and alignment with EU policy commitments,” stated Iulia Bratu, partner at EY in Romania.

Advanced manufacturing & mobility maintained its position in third place with 41 deals, with the logistics sub-sector showing a 20% increase in transaction volumes, reaching 12 deals. Technology, media and telecommunications secured the fourth place holding steady at 40 deals, driven by an 55.6% increase in the media sub-sector.

Across the board, the average size of a financial transaction in Romania returned to its 2021 level, at $42 million.

Outlook for 2025

Commenting on the outlook for 2025, Bratu said: “While some potential short-term volatility can affect dealmaking appetite, the Romanian market continues to be underpinned by attractive market fundamentals that will drive M&A activity over the long-term.”

Earlier this week, Bain & Company released its outlook for the global M&A market, highlighting its expectation that deal value will end the year higher than the $3.5 trillion booked in 2024.