Egypt’s mergers and acquisitions (M&A) market continues to attract investor interest despite ongoing geopolitical uncertainty across the region, according to the Middle East M&A Market Analysis Q1 2026 report published by Ansarada, an AI-powered virtual data room platform whose insights are based on more than 60,000 transactions.

The report found that the Middle East recorded 196 announced M&A deals worth $23.3 billion during the first quarter of 2026, compared with 207 transactions valued at $31.3 billion during the same period in 2025. Egypt accounted for eight deals worth $22 million, down from 11 deals a year earlier.

Despite the decline in deal volume, Ansarada said Egypt continues to demonstrate resilience, supported by a maturing investment environment, ongoing economic reforms, and measures designed to attract capital, including tax incentives.

“The conflict may be reshaping deal timelines, but it is not diminishing the region’s appetite for M&A activity,” said Justin Smith, Managing Director at Ansarada. “We remain confident in the long-term outlook for dealmaking in Egypt, which we view as an enduring and strategically important hub for M&A in the region and beyond.”

Smith said market volatility continues to influence transaction timing and execution, but significant capital remains available as investors wait for more favorable conditions. He noted that deals are still progressing, albeit with greater scrutiny and caution, as companies and investors adapt to a prolonged period of uncertainty.

Across the wider Middle East, M&A activity remained relatively stable, supported by sovereign investment strategies, national transformation programs, and long-term infrastructure development plans. The report also highlighted continued outbound acquisitions by Middle Eastern investors, reflecting confidence in the region’s capital strength and long-term growth prospects.

By sector, technology recorded the highest deal volume, with 68 transactions worth $7.3 billion, driven by investments in artificial intelligence, financial technology, and enterprise software. Transportation led in deal value, generating $8.2 billion across nine transactions, reflecting significant infrastructure-related investment activity.

The energy and natural resources sector contributed $2.2 billion across 18 deals, while healthcare accounted for $1.9 billion through 19 transactions. Industrial deals totaled $1.6 billion across 23 transactions, supported by government initiatives to strengthen domestic manufacturing capabilities.

Smith also highlighted the growing role of technology in improving deal execution and transparency. He said periods of uncertainty place a greater premium on execution certainty, making real-time visibility into risk, compliance, and due diligence increasingly important.

“Companies and investors require real-time visibility into risk, compliance, and diligence readiness,” Smith said. “Virtual data room platforms such as Ansarada are enabling dealmakers to manage complexity, maintain momentum, and execute transactions with greater confidence and efficiency.”