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In 2021, the volume of announced and completed mergers and acquisitions (M&A) in Ukraine, including corporate, privatization and venture deals of technology companies, surged by 80% to $2.14 billion against 2020. The amount of M&A deals, according to preliminary estimates of InVenture investment company, hiked by 35% to 108.
“Taking into account the low publicity and transparency of deals, we assume that the M&A market size could be at least 20% larger, i.e. $2.5 billion,” the investment company commented in the post.
The largest number of M&A deals was recorded in the following sectors:
The largest deal of the year is the purchase of Dniprovskyi Iron and Steel Works, a former member of ISD, by Dniprovskyi Coke Plant, part of the Metinvest Group.
Top 10 M&A deals in Ukraine in 2021
| Date | Target company | Seller | Acquirer | Country | Deal amount, $ million | Stake | Sector |
|---|---|---|---|---|---|---|---|
| July 2021 | Dniprovskyi Iron and Steel Works (DMK) | Dniprovskyi Coke Plant / Metinvest (Rinat Akhmetov) | Ukraine | 340 | 1 | Steel industry | |
| November 2021 | Grammarly | Maksym Lytvyn, Oleksiy Shevchenko, Dmytro Lider | Baillie Gifford, General Catalyst, BlackRock | International | 200 | n/a | IT and telecommunications |
| June 2021 | Wholesale Network 2011 LLC / Sky Mall shopping and entertainment center | Bank Pivdenny / Ivan Fursin | Slavian LLC (Serhiy Briukhovetsky) | Ukraine | 150 | 1 | Construction and real estate |
| March 2021 | Pokrovske Colliery Group (Pokrovske Coal Company and Sviato-Varvarynska Beneficiation Plant) | Fintest Trading Co Limited (Viktor Nusenkis) | Metinvest B.V. | Ukraine | 142 | 0.75 | Petrochemical industry |
| October 2021 | Glusco Energy S.A. Glusco gas station network | Nisan Moiseev | Dimitrios Anifantakis | Greece | 100 | 1 | Retail trade |
| August 2021 | People.ai | Oleg Roginsky | Mubadala Investment Co., Akkadian Ventures, ICONIQ Capital, Lightspeed Venture Partners | International | 100 | n/a | IT and telecommunications |
| November 2021 | Depositphotos, Crello | Dmitry Sergeev, EBRD, TMT Investments | VistaPrint / Cimpress | U.S. | 85 | 1 | IT and telecommunications |
| February 2021 | Creatio | Katerina Kostereva | Volition Capital, Horizon Capital | U.S. | 68 | n/a | IT and telecommunications |
| July 2021 | Cascade Agro | Cascade Investment Fund (Vitaliy Khomutynnyk) | Alfa Capital Private Enterprise | Ukraine | 60 | 1 | Agriculture |
| November 2021 | Bolshevik machine-building plant | State Property Fund of Ukraine | General Commerce Ltd (Oleksiy Baranov, Volodymyr Dolgopolov, Vasyl Khmelnitsky and Andriy Ivanov / AB Pillar Holdings Limited, Laram System Closed Non-diversified Venture Corporate Investment Fund) | Ukraine | 53 | 1 | Construction and real estate |
Source: InVenture
As reported earlier, there were only 17 mergers and acquisitions worth $3 billion in the steel industry in 2020, 50% down from 2019.
The most active participants in the industry concentration were Chinese companies that intensified M&A processes ahead of the completion of the next five-year plan.
For more details read the study on “M&A in the steel industry 2020–2021”.
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