Core Insights - The Middle East M&A market experienced a 10% increase in transaction volume in the first half of 2025, totaling 271 deals, contrasting with a 9% decline globally, highlighting market resilience [1] - The UAE, Saudi Arabia, and Egypt dominated the market, accounting for 89% of total transactions [1] - Key sectors driving M&A activity include technology, energy transition, and healthcare, with notable deals such as G42's acquisition of Khazna data center and a significant AI project in Saudi Arabia [1] - Sovereign capital, reforms, and high-growth industries are driving transactions, while the mid-market remains active due to accessible financing and alignment with localization and digitalization strategies [1] - The report anticipates continued momentum in Middle East M&A, focusing on transformation areas such as green energy, healthcare, and digital infrastructure [1]