The value of mergers and acquisitions in Poland reached approx. USD 20 billion in 2022 and was higher by approx. USD 1 billion compared to 2021, according to a study by the consulting company Bain & Company. Investors will continue to be active in this area this year. at a high level, e.g. due to more attractive valuations of the acquired companies in a difficult macroeconomic and geopolitical situation.
Analysts expect downward pressure on company valuations to continue in the near term, Bain & Company said.
“According to our analyses, last year the value of M&A transactions in Poland increased by about 7%, and their number by over a third. After several months of uncertainty caused by the outbreak of war in Ukraine, investors have returned to buying and we expect this increased activity to continue this year as well. This will be favored by the decline in asset valuations, especially in the technology and healthcare sectors,” said Bain & Company partner Paweł Szreder, quoted in the release.
According to the survey, the technology industry will remain the focus of investors’ interest.
“Among the largest transactions on the Polish market, apart from those carried out by PKN Orlen, was the purchase of Lotos Paliwa by Hungarian MOL and Rafineria Gdańska by Saudi Aramco. Exit transactions by private equity funds were also significant, as a result of which PKP Energetyka was taken over by Polska Grupa Energetyczna, and the Inelo Group by Eurowag. A large transaction with a structure that is rare on the Polish market was also the management buyout of the Empik Group by the President of the Management Board, Ewa Szmidt-Bielcarz.
Szreder pointed out that in the coming years, investments in sectors that can benefit from the dynamic trend of building a zero-emission economy will be beneficial.
“This applies not only to companies that generate energy from renewable sources, but also to the broadly understood electromobility, logistics and energy storage industries,” concluded the Bain & Company partner.