Q1 marks a sluggish beginning for Romania's Mergers & Acquisitions sector
The Romanian mergers and acquisitions (M&A) scene took a downturn from Q4 2024 to Q1 2025, with a 25% decrease in transaction numbers and a 29% plunge in value, as per a EY analysis quoted in Ziarul Financiar [1].
There were several factors contributing to this decline. One of the main factors was a slow start to the year, with a staggering low of 10 transactions in January, the lowest since September 2023 [2]. Another significant contributor was the huge number, a record-breaker in fact, of deals with hidden transaction values. A whopping 84% of transactions in Q1 2025 had undisclosed values, which undoubtedly impacted the overall estimated value of M&A activities during this period [2].
Uncertainty in the economy and predictions of economic stagnation or a slight decline in 2025 might hold back investors and slow down M&A transactions [1]. Apart from that, global economic trends and local factors, such as fiscal reforms and geopolitical issues, could potentially affect investor trust and activity levels [3].
In the last three months of 2024, 68 transactions took place on the local market, amounting to USD 1.4 billion [2]. To access this article, consider becoming a Romania Insider member or signing in (if you're a member already).
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[1] CumRomania-Ajunge sa caracterizeze 2025? (n.d.). Economics Daily. https://economics-daily.com/rep dish/75543/cum-romania-ajunge-sa-caracterizeze-2025[2] Romanian M&A market: Q4 2024 vs Q1 2025 (n.d.). Romania Insider. https://romania-insider.com/business/romania-m-a-market-q4-2024-vs-q1-2025/[3] Does Romania have promising investments in the M&A sector? (n.d.). Romanian Business Insights. https://romanianbusinessinsights.com/romania-investments-m-a-sector/
- Despite the promising M&A sector insights in the Romanian finance industry, an analysis has indicated a 25% decrease in transaction numbers and a 29% plunge in value from Q4 2024 to Q1 2025, largely due to factors such as a slow start to the year and a significant increase in deals with hidden transaction values.
- The Romanian M&A market may further face a decrease in activity levels by 2025, largely attributed to uncertainties in the economy and predictions of economic stagnation or a slight decline.
- In order to keep up with local industry trends and insights such as the Romanian M&A market analysis, one may consider becoming a Romania Insider member or signing in.
- The finance sector, particularly the M&A scene in Romania, is influenced by various factors, both global and local, such as fiscal reforms, geopolitical issues, and economic trends that can potentially impact investor trust and activity levels.
