Romanian mergers and acquisitions (M&A) recorded 198 transactions during the first nine months (9M) of 2024, marking an 8.2% increase compared to the same period last year (183 deals), EY said in a quarterly report.

The estimated value of Romanian M&A activity rose by 22.3% y/y (chart), reaching $5.2bn versus $4.2bn in 9M23, and was primarily driven by robust activity in the Power & Utilities sector.

The value of disclosed transactions during 9M24 remained relatively unchanged at $2.5bn (-0.1% y/y).

The largest deal observed during 9M24 was the acquisition of a 629 MW renewable energy portfolio from Evryo Group (previously CEZ Romania), by Public Power Corporation (PPC), the main electric power company in Greece, for a consideration of $768mn. 

The second-largest deal in Q3 2024 (ranking third in 9M24) involved the sale of a 99 MW onshore wind project by Sweden-based OX2 for approximately $234mn to Nala Renewables.

Another notable transaction in Q3 involved the outbound acquisition of Nowo Communications, Portugal's fourth-largest telecommunications operator, by Digi Communications, the leading provider of television and internet services in Romania, from Cabonitel for $163mn.

This evolution aligns with both regional and global trends, as European M&A deal values rose by around 30% during the same period, while global deal values increased by 16%, EY concludes.

Such positive dynamics at both local and global levels point to a new phase of M&A activity in 2024, with renewed dealmaking appetite, following a challenging environment for global and European deal-making in recent years. This renewed appetite comes on the back of lower interest rates and falling inflation, driven by lower goods and energy prices.