Romania’s mergers and acquisitions (M&A) market (chart) recorded a total value of $6.6bn in 2024, reflecting a 5.9% year-on-year decline compared to the $7.1bn recorded in 2023, according to EY Romania.

The contraction was largely due to the absence of mega-deals, which accounted for significant activity in 2023, including the €1.3bn acquisition of Enel Romania and the €1.4bn acquisition of Profi Rom Food.

Excluding mega-deals, the market grew by 50% y/y to €3.6bn, driven by strong activity in the real estate, construction and energy sectors.

Transaction volume rose by 10% to 241 deals, highlighting increased investor appetite.

“While short-term volatility may impact deal appetite, Romania’s strategic sectors, particularly renewable energy, continue to attract strong investor interest. This positions the country for sustained long-term growth in M&A,” said to EY’s Iulia Bratu, partner and head of lead advisory.

Real estate, construction and energy remained the dominant sectors, accounting for 18.5% and 16.6% of total deals, respectively. Renewable energy investments nearly doubled, aligning with EU climate goals and positioning Romania as a key player in the sector. The technology, media, and telecommunications sector followed closely, with a 55.6% surge in media deals, while consumer products and retail saw modest growth of 5.4%, buoyed by a 267% rise in the beverages sub-sector.

The average deal size rebounded to $42mn ($40mn in 2023), close to 2021 levels, underpinned by Romania's stable market fundamentals.

Foreign investment in Romania surged, with inbound deals rising by 26.9% to 132 transactions, while domestic transactions fell slightly to 113. Notably, 91.3% of all transactions involved strategic investors, marking the highest share in six years.

The United States led inbound transactions with 13.6%, followed by Poland (8.3%) and France, Austria, and Germany (7.6% each). Despite this activity, transparency in deal disclosures hit a new low, with the value of 74.7% of transactions remaining undisclosed—far above the historical 65% average.