A. Nagimova, Finance University under the Government of the Russian Federation, 49, Leningradskii Prosp., Moscow, 125993, Russian Federation (Nagimova_almira@mail.ru).
The article analyses cross-border mergers and acquisition deals (M&A-deals) between the CIS and Persian Gulf countries in the period from 1990 till the present day. The author defines distinctive features, number, value, status and transparency of such M&A-deals, estimates average deal value and volume of the largest M&A-deals. In addition, the author shows country, industry and type breakdown of M&A-deals. Then the author reviews the main cross-border M&A-deals by industries. In the financial sector the biggest M&A-deal is between the Ministry of finance of Abu-Dhabi and the Russian direct investment fund (RDIF), the two main players from the CIS side are RDIF and VTB. Then the author analyses M&A-deals in extractive sector, and defines the biggest project which is joint venture of LUKoil in Saudi Arabia. In the production sector Russian metallurgical companies are the main investors. In the transport and infrastructure sphere the biggest project is the building of international transit corridor between Uzbekistan, Turkmenistan, Iran and Oman. The main investor in port sector of CIS is DP World from UAE. The author defines the sectors with high growth potential of cross-border M&A-activity. These are energy, agriculture, construction and tourism. The most significant deals in these sectors are the acquisition of Russian Enel OGK-5 by Emirates investors, building of Abu Dhabi Plaza in Astana (Kazakhstan) with the highest tower in the whole Central Asia and Russian-Emirates partnership for the building of satellite city in Moscow region. As far as Persian Gulf countries are the largest foodstuff importers in the world the potential of M&A-deals in agriculture industry and prospects for CIS grain exporters are also high. In conclusion, the author resumes that the trend in the number of cross-border M&A-deals is positive and that a good potential for development of investment cooperation between countries exists.
investment, FDI, mergers and acquisitions, cross-border deals, investment fund, Persian Gulf countries
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