The 2024 Merger and Acquisition Outlook Report, which compiles data on mergers, acquisitions, and privatization transactions concluded by the Turkish Competition Authority ("TCA"), has been published. According to the report, the TCA reviewed a record total of 311 transactions in 2024, marking the highest figure in the past 12 years. Of these, 131 transactions involved companies established in Türkiye, while 164 related to foreign entities conducting activities abroad. The total transaction value, excluding privatizations, amounted to 191.9 billion TL (approximately 5.85 billion USD). Additionally, the total value of privatization transactions reached 31.4 billion TL (approximately 957 million USD).
Throughout the year, foreign investors played a significant role in transactions targeting Turkish companies. Among these, investors from the Netherlands and France emerged as the most active, with a combined foreign direct investment of approximately 99 billion TL (3.03 billion USD). Analysing transactions by economic activity, the highest volume of transactions occurred in the fields of computer programming, consultancy, and related activities, as well as in the production, transmission, and distribution of electricity. In terms of transaction value, the retail trade sector stood out prominently.
The reviewed transactions included those involving exclusively Turkish entities, solely foreign entities and mixed transactions where Turkish and foreign parties participated. Specifically, transactions that brought together at least one Turkish and one foreign entity were notable for their diversity and significance in fostering cross-border collaboration. Beyond private sector transactions, six privatizations from public to private entities were also reviewed. The most valuable privatization was in the "culture, arts, entertainment, recreation, and sports" sector, and privatizations collectively accounted for approximately 14% of the total transaction value in Türkiye. Furthermore, the "electricity, gas, steam, and air conditioning production and distribution" sector emerged as another significant area in privatization transactions.
The TCA achieved an average decision-making time of 12 days for merger and acquisition reviews in 2024. Additionally, two transactions were subjected to in-depth investigation under Article 10 of of the Act No. 4054 on the Protection of Competition due to potential competition concerns. Conditional clearances were granted where necessary to address competition issues, ensuring a balance between fostering economic activity and maintaining market competition.
The report demonstrates that 2024 was a pivotal year marked by heightened economic activity in mergers, acquisitions, and privatizations, with both transaction numbers and values reaching significant levels. These findings reaffirm the TCA's critical role in maintaining competitive market conditions while promoting economic integration and fostering investment flows. The insights provided underscore Türkiye's strategic importance as a hub for international investments and the TCA's dedication to ensuring compliance with competition law while supporting a thriving economic environment.
The full text of the report can be reached through this link. (Only available in Turkish.)
(TCA – 07.01.2025)
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