The currency control of the National Bank of Ukraine significantly complicates the conclusion of international agreements in the field of mergers and acquisitions (M&A). This was noted by experts during the Ukrainian PE & VC Summit conference held in Warsaw.
This is reported by Business • Media
Challenges in the M&A Market
According to the opinions of the participants, currency control holds capital “hostage,” which directly affects the complexity of concluding international agreements. Although the domestic M&A market shows activity, making deals in hryvnias remains challenging. The average deal-making time has increased from one to two or three years.
“Participants discussed the current challenges of the M&A market in Ukraine: currency control holds capital ‘hostage’ and complicates international deals,” said Nadia Kaznacheyeva, a top manager at the investment company umgi.
Market Development Prospects
According to Kaznacheyeva, the geographical expansion of Ukrainian companies continues, although financing and securing deals remain complex. Strategic investors are currently acting cautiously, as stability and predictability are needed to rekindle interest in the market.
“Forecast for 2025: an increase in activity is expected in agriculture, IT, energy, logistics, infrastructure, and possibly in miltech. Industrial minerals are an important asset for the country’s recovery. Despite all the difficulties, the market is gradually reviving,” believe experts at umgi.