Advisory
Mergers and Acquisitions in UAE
Since 20179 Since 2017
- FTA approved tax agency
- Fixed fees, quoted up front
- Filed in your name
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Tell us what the business is trying to decide and we will tell you what it would take to answer it.
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The question this answers
Should we buy, merge, or be bought?
Buying a business, selling one, or putting two together, with the diligence and the numbers done first.
Overview
What Mergers and Acquisitions involves
The UAE has become a business setting of the highest quality in the world with opportunities in the markets for expansion, diversification, and investment. Mergers & acquisitions (M&A) are now an essential tool in the hands of enterprises which desire to boost their market share, go into new sectors or get access to new technologies.
- Advisory services, one practice
- 11Advisory services, one practice
- years, since 2017
- 9years, since 2017
- Professionals in Business Bay
- 75+Professionals in Business Bay
What are Mergers and Acquisitions?
Mergers and acquisitions are two closely related but different business strategies:
Mergers are the joint operations of two companies that become one, typically one goes out of business with its assets being absorbed by the other.
Acquisitions are the moments when one company buys another, taking over its assets, operations, and people, while the acquired company continues to be a separate legal entity or merges fully with the acquirer.
The basics
What Mergers and Acquisitions is
At Vigor Accounting & Taxation, we provide services for mergers and acquisitions that are inclusive of assisting companies with the complicated nature of mergers and acquisitions while at the same time maximizing the value for shareholders. This article discusses a detailed analysis of mergers and acquisitions in the UAE, highlighting the main aspects, regulatory framework, challenges, and the customized services offered by Vigor Accounting & Taxation.
Both strategies come with many advantages such as growth in the market, the entrance to new technologies, product or service diversification, and the overall improvement of the operational efficiency.
Why it matters
Importance of Mergers and Acquisitions in the UAE
UAE’s business environment reflects its strategic location, favourable tax policies and a thriving economy. Indeed, many M&A activities are highly necessary in this region for various reasons:
Detail
In more detail
The UAE has a very well-defined legal structure for the mergers and acquisitions of businesses.
The key regulations and authorities overseeing M&A activities include:
Services Offered by Vigor Accounting & Taxation
At Vigor Accounting & Taxation, we deliver complete M&A services that help to simplify the complicated transactions and ensure that our clients experience the success they desire.
UAE Commercial
Securities and Commodities Authority (SCA)
Competition Law
Foreign Direct Investment (FDI)
Free Zone Regulations
The list of M&A services we provide are stated below
Due Diligence
Valuation Services
Transaction Structuring
Negotiation and Advisory
Regulatory Compliance and Filings
Post-Merger Integration
Eleven questions
Nobody wakes up wanting corporate governance
They wake up wondering who gets to decide what. Every service in this practice answers a question somebody actually asked, so here they are as the questions rather than as the names.
Before you commit
The question asked while it is still a decision.
Running it
Direction, money and who decides what.
Knowing where you stand
What the business is worth, what it owes, what the figures mean.
Changing shape
When the business has to become something else, or belong to someone else.
The groupings say when a question usually comes up, not what order to do things in. A business can need a valuation and a succession plan in the same month, or a feasibility study years after it started trading.
Or go straight to one
Government Agencies
We work closely with all Government Agencies
Company formation, licensing, visas, customs codes and tax registration all pass through these authorities. Start a company setup.
Answers
Questions asked about Mergers and Acquisitions in UAE
The 6 asked most often, answered by an adviser.
01Do I need regulatory approval to merge with or acquire a UAE company?
It depends on the sector and structure. Transactions involving listed entities fall under the Securities and Commodities Authority, some free zone entities need free zone authority consent, and deals affecting market competition may require clearance under UAE competition law. Foreign investment rules can also apply. Whether approval is needed for your deal turns on the target's licence type, ownership and sector.
02How much does M&A advisory cost in Dubai?
M&A advisory is quoted after reviewing the transaction, since fees depend on the size of the deal, the depth of due diligence required and the regulatory approvals involved. We provide a proposal once we understand the target entity, the structure proposed and the jurisdictions involved.
03How long does a merger or acquisition take to complete in the UAE?
Timelines vary widely depending on due diligence findings, the number of regulatory approvals needed and whether foreign direct investment or competition law clearances apply. Straightforward acquisitions of a single free zone entity move faster than mergers involving listed companies or cross border structures, which can take several months.
04What is due diligence and why is it needed before a deal?
Due diligence is the review of a target company's financial records, contracts, licences and liabilities before a merger or acquisition proceeds. It confirms the figures presented match reality, uncovers hidden debts or disputes, and gives the buyer grounds to renegotiate price or walk away if serious issues emerge.
05What documents are usually required for M&A due diligence?
Typical requirements include audited financial statements, trade licences, shareholder and board resolutions, material contracts, employee records, existing loan or lease agreements, and details of any pending litigation. Free zone entities may also need to provide their qualifying income analysis. The exact list depends on the sector and deal structure.
06Does UAE competition law affect mergers and acquisitions?
It can. Transactions that reduce competition in a relevant market may fall under UAE competition law and require notification or clearance before completion. Whether this applies depends on the market share of the parties involved and the sector, so it should be checked as part of early deal structuring rather than left until closing.
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