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Kenya Overtakes Nigeria as Africa’s Top M&A Market by Value, Deal Activity Surges.

Dr Bless Phanuel

Kenya Overtakes Nigeria as Africa’s Top M&A Market by Value, Deal Activity Surges.

Kenya has overtaken Nigeria as Africa’s leading mergers and acquisitions (M&A) market by deal value, after the East African country recorded a dramatic increase in transaction value during the first half of 2026.

According to new data from DealMakers Africa, Kenya recorded M&A transactions worth approximately $1.44 billion in the first half of 2026, representing a 670.5% increase compared with the same period last year. The latest figures place Kenya at the top of Africa’s M&A market by value.

Kenya Records Sharp Increase in M&A Investment.

Kenya recorded 25 M&A deals during the first half of 2026, significantly fewer than Nigeria’s 39 transactions. However, the value of Kenya’s deals was almost eight times higher than Nigeria’s, demonstrating the growing importance of large corporate transactions in the Kenyan economy.

The surge has been linked to several major transactions involving Kenyan companies and financial institutions, helping push the country from sixth position in Africa last year to first place in M&A deal value this year.

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The development highlights Kenya’s growing attractiveness to strategic investors at a time when international companies are increasingly looking for opportunities in Africa’s financial services, telecommunications, energy and technology sectors.

Nigeria Still Leads Africa in Number of Deals.

While Kenya leads Africa’s M&A market by value, Nigeria remains the continent’s busiest market by transaction volume.

Nigeria recorded 39 M&A deals in the first half of 2026, the highest number on the continent. However, the combined value of those transactions fell sharply to approximately $105.8 million, representing an 88.9% decline from the previous year and the country’s weakest first-half M&A value in nearly a decade.

The contrasting figures reveal an important shift in Africa’s investment landscape. Nigeria continues to generate a high volume of corporate transactions, but Kenya is attracting significantly larger individual investments.

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East Africa Gains Ground in African Investment Market.

Kenya’s rise comes as East Africa continues to strengthen its position in Africa’s corporate investment market. DealMakers Africa recorded 39 transactions across East Africa during the first half of the year, making it the second-busiest region after West Africa, which recorded 55 deals.

Nigeria, Kenya, Egypt and Morocco were the leading individual markets outside South Africa, demonstrating that investment activity remains concentrated around Africa’s larger and more developed economies.

Despite the strong individual performances, the broader African M&A market remained cautious. DealMakers Africa recorded 166 transactions worth $5.58 billion across Africa excluding South Africa, representing a 10% decline in total deal value and a 13% decline in transaction volume compared with the first half of 2025.

What Kenya’s M&A Surge Means for Investors.

The dramatic increase in Kenya M&A activity suggests that international and regional investors continue to see opportunities in the country despite broader economic uncertainty.

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The rise in deal value also strengthens Nairobi’s position as one of Africa’s leading financial and corporate centres. Large acquisitions and investments can bring additional capital, technology, management expertise and employment opportunities into the Kenyan economy.

For Nigeria, however, the figures highlight a different challenge. Although the country remains Africa’s most active M&A market by transaction volume, the sharp decline in deal value suggests that investors are becoming more selective about the size and nature of Nigerian investments.

Kenya’s emergence as Africa’s top M&A market by value marks a significant shift in the continent’s investment landscape. With $1.44 billion in M&A deals during the first half of 2026, Kenya has demonstrated its ability to attract large-scale corporate investment, while Nigeria’s 39 transactions show that it remains highly active but is currently struggling to convert deal volume into comparable deal value.

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