Ukraine’s M&A Market Gains Momentum: Who Is Buying Assets, Where Capital Is Flowing in 2026

Ukraine’s mergers and acquisitions market expanded by 50% in 2025 to $1.7 billion and reached $1 billion in the first five months of 2026 alone. The largest transactions are concentrated in agriculture, technology, energy and financial services. Ukrainian companies are increasingly acquiring businesses abroad, while the DefenceTech sector is preparing to move from relatively small venture rounds to large international strategic deals.

Ukraine’s M&A market has not merely adapted to the full-scale war—it is gradually entering a new development cycle. Transactions are becoming larger, domestic capital is consolidating assets more actively, Ukrainian business groups are expanding into international markets, and foreign strategic investors are returning to the acquisition of manufacturing, financial, logistics and technology companies.

At the same time, the war has fundamentally changed the logic of transactions. Investors assess not only revenue, EBITDA and market share, but first and foremost a company’s ability to operate amid attacks on the energy system, workforce mobilisation, disrupted logistics, foreign exchange restrictions and continuous regulatory changes.

As a result, high-quality Ukrainian assets have not turned into the low-cost distressed market that some potential buyers expected in 2022. On the contrary, resilient companies that have retained their teams, customers and operational efficiency are often in a position to dictate terms to buyers.

This article is based on the study Battle-Hardened Investments: An Analysis of the M&A Market in 2025–2026, prepared by law firm Aequo and Forbes Ukraine.

Key indicators of Ukraine’s M&A market

Under the study’s methodology, the calculations include transactions worth at least $5 million in which the buyer obtained no less than 10% of the asset. The analysis covers acquisitions of Ukrainian businesses, domestic transactions, purchases of foreign companies by Ukrainian investors, joint ventures and other forms of equity participation.

In 2025, the total market volume increased by approximately 55%, while the number of major transactions rose from 37 to 41. During the first five months of 2026, 19 transactions with a combined value of around $1 billion were completed—almost 60% of the total recorded for the entire previous year.

These indicators do not mean that the market has already returned to pre-war conditions. It remains highly concentrated: the five largest transactions accounted for 51% of total M&A value in 2025, while the two largest deals represented 47% of the market in the first five months of 2026.

Nevertheless, the overall trend points to renewed confidence in Ukrainian assets and investors’ willingness to make long-term decisions despite continuing security uncertainty.

InVenture M&A and VC Deals Database in Ukraine

Why the war did not turn Ukraine into a market for cheap assets

At the beginning of the full-scale invasion, some foreign investors expected owners of Ukrainian companies to be forced to sell their businesses at substantial discounts. It was assumed that a large number of distressed assets would enter the market and that buyers with available liquidity would be able to acquire them at minimal valuation multiples.

This scenario materialised only partially.

Companies that were unable to adapt did lose value or cease operations. However, the strongest businesses rebuilt their supply chains, relocated production facilities, diversified sales markets, secured backup energy supplies and learned to manage teams amid mobilisation and migration.

As a result, investors are no longer acquiring pre-war businesses that merely survived the crisis. They are buying companies that have passed an exceptionally difficult resilience test.

This is why a seller’s market has emerged for high-quality assets. Owners of businesses demonstrating profitability, transparent reporting, stable management teams and clear strategies are unwilling to accept an automatic “war discount”.

For buyers, this changes the central question behind a transaction. Instead of asking how cheaply an asset can be acquired, investors increasingly need to determine whether they can realistically close the transaction and support the company’s further development.

A well-prepared asset commands a valuation premium

Financial performance remains important, but during the war it represents only one part of the investment analysis.

Buyers additionally examine:

• the stability of the management team;
• dependence on individual founders or key employees;
• the company’s ability to operate during power outages;
• diversification of suppliers and customers;
• the quality of management and financial reporting;
• the corporate ownership structure;
• access to critical infrastructure and backup capacity;
• the resilience of the logistics model;
• foreign exchange, sanctions and regulatory risks.

As a result, valuation premiums are awarded not merely to profitable companies, but to well-prepared ones. A business with lower EBITDA but a transparent structure and predictable operating model may be more attractive to an investor than a formally more profitable asset with legal or management disorder.

For Ukrainian business owners, this means preparing for a sale long before formally entering the market. Ownership structures need to be streamlined, reporting systems improved, intellectual property protected, relationships with management formalised and dependence on the founder reduced.

Transaction structure has become more important than the headline price

Before the war, negotiations primarily focused on business valuation and transaction multiples. Today, even an agreed price does not guarantee that a deal can be closed.

The practical implementation of M&A transactions is affected by foreign exchange restrictions, the location of settlements, ownership structures, sources of financing, the ability to repatriate funds, tax consequences and the process of obtaining regulatory approvals.

Transactions therefore increasingly include:

• deferred payments;
• phased transfers of corporate rights;
• escrow accounts;
• linking part of the purchase price to future business performance;
• earn-out mechanisms;
• seller financing;
• options to acquire the remaining equity;
• joint ventures instead of full acquisitions.

The acquisition of a stake in retail equipment manufacturer Modern Expo is a notable example. Under the transaction structure, the Polish partner’s stake is gradually transferred to the Ukrainian co-owner through annual payments. Full control over the business is expected to be consolidated over several years.

This model allows the buyer to distribute the financial burden over time, while enabling the seller to receive the agreed value without an excessive discount.

Under current Ukrainian conditions, the winner of a competitive process may not be the bidder offering the highest headline price, but the investor proposing the most realistic payment mechanism and the most predictable route to completion.

Ukrainian capital has become one of the market’s main drivers

One of the most significant changes in 2025 was the growing role of domestic buyers. The share of domestic M&A transactions increased from 40% in 2024 to 55% in 2025.

Several factors contributed to this development.

First, Ukraine’s largest companies continue to generate considerable liquidity. Restrictions on dividend payments and certain cross-border transactions mean that funds accumulate in corporate accounts and can be redirected towards domestic acquisitions.

According to the study, Kyivstar’s cash position increased twelvefold over three years to UAH 20 billion. This created a financial base for a series of major acquisitions.

Second, local investors are better equipped to assess Ukrainian risks. They have their own operating teams, understand how regulators work, can arrange financing more quickly and do not demand a significant premium for entering an unfamiliar jurisdiction.

Third, Ukrainian business groups are increasingly using M&A as a diversification tool. Telecom companies are investing in digital services and energy, retailers are buying logistics facilities, commercial groups are acquiring generation capacity, and agricultural companies are purchasing processing businesses and foreign producers.

Outbound M&A: Ukrainian companies are acquiring businesses abroad

The international expansion of Ukrainian companies is accelerating alongside the recovery in domestic transactions.

MHP provides the most prominent example. In 2025, the group acquired more than 92% of Spanish poultry and pork producer Grupo Uvesa. The transaction was worth approximately $300 million, making it the largest Ukrainian M&A deal of the year.

In 2026, MHP continued its international expansion by announcing the acquisition of Greek poultry producer Th. Nitsiakos AVEE. The transaction is estimated at between $290 million and $330 million.

International acquisitions allow Ukrainian companies to address several strategic objectives simultaneously:

1. diversify geographic and security risks;
2. obtain production facilities within the EU;
3. gain access to new customers and retail chains;
4. integrate Ukrainian operating expertise into European companies;
5. reduce dependence on exports from Ukraine;
6. prepare the business for full integration into the EU single market.

Outbound M&A is gradually becoming less exceptional. For large agricultural, industrial, technology and defence companies, foreign acquisitions are increasingly a natural stage of development.

Agriculture strengthens its position as the anchor of Ukraine’s M&A market

The agricultural sector accounted for almost one-third of transactions in 2025. Together with IT and real estate, the three sectors represented 72% of the market.

In the first five months of 2026, agriculture and technology already accounted for 64% of total M&A value.

MHP — Uvesa and Nitsiakos

MHP’s two international acquisitions were the largest transactions of 2025 and the first five months of 2026, respectively. They demonstrate that major Ukrainian agricultural groups are moving away from a purely export-oriented model towards the creation of international manufacturing platforms.

The purpose of such acquisitions extends beyond increasing production volumes. Ukrainian companies gain local brands, commercial relationships, certifications, access to European retail networks and the ability to operate without the logistical constraints associated with the war.

Bunge — Vinnytsia Oil and Fat Plant

The largest transaction involving a foreign buyer in 2025 was Bunge’s acquisition of an 85% stake in the Vinnytsia Oil and Fat Plant for approximately $138 million.

Including the stake acquired earlier, the total enterprise valuation was around $162 million.

The deal strengthens consolidation in Ukraine’s oilseed processing industry. Following the acquisition, Bunge’s share of processing capacity approached 15%, compared with approximately 25% controlled by Kernel.

Competition among processors is increasingly shifting from the finished-product market to access to raw materials, logistics and export infrastructure.

Enselco — Agro-Region

The largest domestic deal during the first five months of 2026 was Enselco’s acquisition of agricultural group Agro-Region. The transaction value is estimated at between $100 million and $150 million.

Such transactions point to further consolidation in the agricultural market, with stronger operators expanding their land banks, grain storage facilities, logistics capacity and share of production.

Kyivstar is building a digital ecosystem through serial acquisitions

Kyivstar became one of the most active buyers in 2025–2026. The company is transforming from a conventional telecom operator into a diversified digital platform.

Its largest acquisitions include:

• Tabletki.ua — approximately $160 million;
• Uklon — $155.2 million;
• an increased stake in Helsi — approximately $10.5 million;
• regional internet provider Shtorm — approximately $9.7 million;
• a 12.95 MW solar power plant — $8.2 million;
• six solar power plants with a combined capacity of 105 MW — approximately $81 million.

The Uklon acquisition created a mobility vertical for Kyivstar. Tabletki.ua and Helsi form the basis of a digital healthcare platform, while the acquisition of energy assets reduces the company’s dependence on unstable power supplies.

The strategy is focused not simply on acquiring profitable companies, but on building an interconnected digital ecosystem.

The criteria used to select assets include access to a large audience, a strong team, the potential to generate synergies and opportunities for international expansion.

Technology companies are once again attracting major international capital

The largest transaction involving a foreign investor during the first five months of 2026 was WestCap’s approximately $150 million investment in online education platform Preply.

The case confirms that Ukrainian technology companies with global business models remain attractive to international funds despite the war.

For such companies, the decisive factors are not the physical location of their assets in Ukraine, but:

• an international customer base;
• foreign-currency revenue;
• a globally structured corporate model;
• protected intellectual property;
• strong scaling potential;
• the possibility of a future IPO or strategic sale.

At the same time, the market is experiencing a shortage of mature technology assets. The volume of available investment capital is increasing faster than the number of companies meeting the requirements of major investors.

Real estate and logistics: investors shift towards large completed assets

Commercial real estate became one of the most active M&A segments in 2025.

The largest transactions included:

• City Capital Group’s acquisition of the first phase of the Leonardo Business Centre and the Ukraina Department Store shopping centre for an estimated $70–100 million;
• the acquisition of a 75% stake in the International Exhibition Centre by structures associated with Maksym Krippa for approximately $60 million;
• EVA’s acquisition of the Omega-1 Logistics complex for approximately $36 million;
• Inzhur REIT’s acquisition of the Sky Park shopping centre for approximately $35.8 million.

EVA’s purchase of a logistics complex demonstrates growing demand for owned infrastructure. Major retailers and e-commerce companies increasingly want to control warehouses, sorting operations and delivery systems instead of relying entirely on landlords.

The Sky Park transaction was significant for the development of collective investment. Almost 38,000 individual investors participated in the shopping centre acquisition through Inzhur REIT.

This creates a new model for financing large real estate assets, in which the buyer is not a single business group but a fund accumulating capital from thousands of investors.

Energy is becoming a separate area of corporate expansion

The extensive damage to Ukraine’s energy system has created both substantial risks and a new investment market.

Companies are investing not only in the restoration of networks and generation facilities, but also in the acquisition of existing energy assets.

Notable transactions include:

• Kyivstar’s acquisition of six solar power plants in Lviv Oblast for approximately $81 million;
• Concorde Capital’s purchase of Ukrainian oil and gas services company Beiken Energy Ukraine for approximately $25 million;
• Green Genius’s sale of its Ukrainian renewable energy portfolio to Foxtrot Group for an estimated $15 million;
• Kyivstar’s acquisition of a separate solar power plant for $8.2 million.

For major industrial, telecommunications and retail companies, owned generation capacity is becoming more than a means of maintaining business continuity. It is also a mechanism for hedging future electricity costs.

Energy M&A is likely to develop in three principal areas: distributed gas generation, renewable energy and energy storage systems.

The financial sector is returning to large transactions

Financial and insurance companies have also increased their M&A activity.

In 2025, Serhiy Tihipko’s TAS Group acquired Idea Bank from Poland’s Getin Holding. The transaction was worth $36.5 million.

In 2026, Polish group PZU agreed to acquire MetLife’s Ukrainian business. The transaction is estimated at approximately $100 million. At the beginning of the year, MetLife controlled around 49.2% of Ukraine’s life insurance premium market, compared with PZU’s 6.8% share.

France’s Crédit Agricole also signed an agreement to acquire up to 100% of Bank Lviv for an estimated $40 million.

These transactions indicate a gradual return of strategic interest in the financial sector. However, the market’s substantial potential remains constrained by uncertainty over government policy on bank taxation and the future privatisation of state-owned financial institutions.

A global logistics operator has invested directly in a Ukrainian port terminal for the first time

One of the most strategically important transactions of 2026 was Mediterranean Shipping Company’s acquisition of a 51% stake in the TIS Container Terminal.

The transaction is estimated at between $30 million and $40 million.

It is the first case in which a global shipping company of this scale has entered the equity capital of a Ukrainian port terminal directly.

The transaction is important not only for the specific asset. It demonstrates the international logistics operator’s long-term interest in Ukrainian cargo flows, port infrastructure and the future recovery of maritime trade.

The participation of a strategic port operator may provide the terminal with access to a global customer network, modern management technology and investment in infrastructure upgrades.

Privatisation has become a significant source of M&A assets

Several major privatisation transactions were completed in 2024–2025.

The largest was the privatisation of United Mining and Chemical Company. A structure controlled by NEQSOL Holding acquired the company for more than UAH 3.9 billion, or approximately $96 million.

Another major asset was the Aeroc plant, acquired by BGV Group for UAH 1.89 billion.

Fewer large-scale privatisations took place in the first half of 2026, but the potential for the remainder of the year remains considerable. The estimated initial value of assets included in the large-scale privatisation plan amounted to UAH 29.4 billion.

The largest potential assets include:

• Odesa Port Plant;
• Ocean Plaza shopping centre;
• Mykolaiv Alumina Plant.

For investors, the principal risk of privatisation is not limited to the physical or financial condition of the enterprise. Regulatory stability, export restrictions, access to raw materials, debt obligations and the ability to secure all necessary approvals before completion are equally important.

DefenceTech: from small funding rounds to global defence platforms

Defence technologies represent the most dynamic but also the least transparent segment of Ukraine’s investment market.

According to the study, Ukrainian DefenceTech production, excluding small assembly operations, increased from $1.4 billion in 2021 to $6.8 billion in 2025.

Most investment deals in the sector are still absent from general M&A statistics because their value often remains below $5 million. They may be completed quickly, without public disclosure of valuations and with a shortened due diligence process.

Local funds such as MITS Capital, Green Flag Ventures, Angel One and Nezlamni remain important sources of early-stage capital. International investors participate more selectively, primarily in companies with technology that can be applied globally or businesses that have already established an international corporate structure.

Expanding beyond the domestic defence procurement system

The main constraint affecting the valuation of Ukrainian DefenceTech companies is their dependence on a single customer—the state during wartime.

Without access to exports, investors find it difficult to assess the long-term market, potential exit opportunities and a company’s ability to scale after the active phase of the war.

The situation is gradually changing through joint manufacturing models with foreign partners.

The first Build with Ukraine initiatives, followed by Drone Deal projects, envisage that the Ukrainian side contributes technology and critical components, the foreign partner provides financing and a manufacturing site, and the government of the partner country purchases the finished products.

This structure allows a Ukrainian company to:

• expand beyond domestic defence procurement;
• establish production in a safer jurisdiction;
• attract international capital;
• gain access to foreign government contracts;
• diversify risks;
• achieve a higher business valuation.

The first defence technology unicorn

One of the most notable cases was UForce, which raised $50 million from Shield Capital, Lakestar and Ballistic Ventures in March 2026 at a valuation of $1.1 billion.

A distinctive feature of the transaction was its entirely international syndicate of specialised defence investors.

This signals a shift away from viewing Ukrainian DefenceTech as a local wartime industry towards recognising a global class of technology companies.

The next stage may include strategic acquisitions of Ukrainian manufacturers by major US and European defence corporations, cross-border consolidation, joint ventures and public listings by the sector’s most mature companies.

Why conventional due diligence does not work in DefenceTech

Defence transactions have several fundamental characteristics.

First, regulatory and export restrictions effectively determine who can become an investor and whether a transaction is possible at all.

Second, conventional valuation methods often do not work because there are few comparable transactions, companies depend heavily on government procurement, and technology changes extremely quickly.

Third, some documentation cannot be disclosed because of national security restrictions. Investors may not always be able to visit production sites or receive a complete technical package.

Fourth, intellectual property is often not patented to avoid disclosing sensitive technology. This complicates the legal verification of ownership rights to key developments.

As a result, greater weight is assigned to the reputation of the team, demonstrated battlefield performance, feedback from military users, production capabilities and the speed at which the technology can be improved.

Ukraine’s Antimonopoly Committee is becoming a key participant rather than a formality

The Antimonopoly Committee of Ukraine is playing an increasingly important role in determining the timing, structure and feasibility of major M&A transactions.

In 2025, fines imposed by the Committee exceeded UAH 5.8 billion—approximately six times more than in the previous year.

The regulator examines not only the traditional impact of a transaction on competition. Its analysis also includes:

• ultimate beneficial owners;
• control structures;
• the origin of capital;
• sources of financing;
• sanctions and reputational risks;
• the impact on critical infrastructure;
• access to data;
• the strategic importance of the asset to Ukraine.

The standard procedure may take up to 45 days after an application has been accepted. In complex cases, the Committee surveys market participants, competitors, customers and government authorities, potentially adding at least three months to the process.

The actual timeline may be even longer if the regulator requests additional information or considers the ownership structure insufficiently transparent.

The Datagroup-Volia and lifecell, Tabletki.ua, United Mining and Chemical Company, and Aeroc cases are particularly illustrative. The analysis extended beyond a mechanical comparison of market shares and included sanctions exposure, data, security of supply and the strategic importance of the relevant businesses.

For buyers, this means that antitrust analysis should begin before the principal transaction documents are signed, rather than at the end of the process. It is also advisable to review the group’s previous transactions over at least the past five years, as the Committee may determine that earlier concentrations were completed without the required approval.

Why investors are prepared to enter Ukraine before the war ends

Ukraine’s overall reconstruction financing requirement creates a potential investment cycle extending over several decades.

According to World Bank estimates cited in the study, reconstruction of damaged infrastructure may require approximately $588 billion. The energy sector alone could need up to $90 billion.

Investor interest is concentrated in sectors where the war has created major shortages or new demand:

• defence technologies;
• energy;
• logistics and transport;
• digital infrastructure;
• construction materials;
• agriculture and food processing;
• pharmaceuticals and healthcare;
• financial services;
• consumer goods.

According to a survey conducted by Global Business for Ukraine and the European Business Association and cited in the study, 79% of foreign investors are interested in opportunities related to Ukraine’s recovery, while approximately half are already making relevant investments.

Risk remains the principal constraint. Consequently, private capital continues to depend substantially on guarantees from international financial institutions, war-risk insurance and co-financing from development banks.

International institutions are reducing risks for private investors

In 2025, the European Bank for Reconstruction and Development provided Ukraine with a record €2.9 billion in financing, while the European Investment Bank provided €1.5 billion.

The Ukraine Investment Framework aims to mobilise up to €40 billion in investment, including through €7.8 billion in guarantees.

Specialised reconstruction funds are becoming another source of capital.

Amber Dragon Ukraine Infrastructure Fund I has a target size of €450 million and focuses on energy, transport and digital infrastructure. The fund raised €207 million at its first closing.

Rebuild Ukraine Fund, with a target size of $250 million, plans to invest in real assets, medium-sized businesses, healthcare, pharmaceuticals, agriculture, construction materials, retail and technology.

European Flagship Fund for the Reconstruction of Ukraine has a target size of €1 billion. Approximately €260 million had been announced at the time the study was prepared.

The emergence of such funds means that a separate source of professional demand for Ukrainian companies and infrastructure projects will develop. Some capital will be deployed through greenfield investment, while a significant share may be invested through equity acquisitions, consolidation and joint ventures.

The market is shifting from “waiting for victory” to an early-entry strategy

For some investors, the principle of early entry, greater upside is becoming the central argument: entering the market before risks are fully resolved creates the opportunity to benefit from a larger future revaluation.

Ukrainian companies have already demonstrated their ability to operate during the war, while future integration into the European Union may provide access to the single market, financing, infrastructure funds and European supply chains.

The experience of Central and Eastern Europe indicates that investment inflows often begin several years before a country formally joins the EU. Strategic investors aim to establish positions before asset valuations complete their upward adjustment.

In this context, the most attractive businesses may be those combining competitive local costs, skilled teams, export orientation and the ability to integrate into the European market.

What could drive Ukrainian M&A in 2026–2028

1. Agriculture and food processing

Agriculture is likely to remain the core sector for major transactions. Further consolidation is possible among agricultural producers, grain storage facilities, oilseed processing plants, food manufacturers and logistics operators.

Major Ukrainian groups will continue their outbound expansion by acquiring manufacturing assets in the EU and other promising markets.

2. DefenceTech

The number of smaller investment rounds is likely to continue increasing, but the main development will be the appearance of larger strategic transactions.

The most likely formats include joint ventures with foreign manufacturers, technology licensing, acquisitions of Ukrainian companies by international defence groups, and the purchase of foreign manufacturing sites by Ukrainian DefenceTech businesses.

3. Energy

The generation deficit, high electricity prices and the need for decentralisation will support demand for solar, wind, gas-fired and energy storage assets.

Buyers may include not only specialised energy companies, but also major industrial and infrastructure consumers.

4. Financial services

There is significant transaction potential in banking, insurance and fintech. A separate large market could emerge through the privatisation of state-owned banks, although investors will require long-term predictability in tax policy.

5. Privatisation and reconstruction

The sale of large state-owned enterprises could generate several transactions valued above $100 million. Reconstruction funds will simultaneously create demand for infrastructure, manufacturing and energy assets.

Can the market exceed its 2025 result?

Ukraine’s M&A market reached $1 billion in the first five months of 2026 alone. Given that a significant proportion of transactions are generally completed in the second half of the year, the 2025 total of $1.7 billion may be exceeded.

Several transactions initiated in 2025 remain in progress but have not yet been publicly announced. New privatisation processes, investments by reconstruction funds and continued DefenceTech activity are also expected.

According to FinPoint founding partner Serhiy Budkin, as cited in the study, several additional transactions valued above $200 million could be announced by the end of 2026, provided that the security situation does not deteriorate materially.

At the same time, rapid growth does not eliminate structural weaknesses. The market remains dependent on a small number of major transactions, while in certain sectors the amount of available capital already exceeds the supply of high-quality, well-prepared assets.

Key conclusions for investors and business owners

Ukraine’s M&A market in 2025–2026 reflects not a post-crisis asset sell-off, but a strategic restructuring of ownership.

High-quality assets are being sold without an automatic war discount because the ability to operate under crisis conditions has itself become a competitive advantage.

Ukrainian capital has strengthened its position in the domestic market and is simultaneously moving towards large-scale international expansion. This trend is most visible in agriculture, technology and, increasingly, DefenceTech.

Agreeing on a price is no longer sufficient to complete a successful transaction. The payment structure must be developed in advance, foreign exchange and sanctions risks must be assessed, regulatory approvals must be secured, and the buyer must present a clear post-acquisition operating model.

The Antimonopoly Committee of Ukraine is becoming a full regulatory filter. Antitrust analysis should therefore begin before a transaction is signed rather than near the end of the process.

The greatest potential in the next M&A cycle is concentrated in financial services, agriculture, DefenceTech, energy, logistics, infrastructure and privatisation.

Ukraine remains a high-risk market, but its underlying logic is changing. Investors are increasingly assessing not only potential wartime losses but also the value of securing a market position before large-scale reconstruction, European integration and the future repricing of assets begin.

For this reason, 2026 may become more than another year of recovering M&A activity. It could mark Ukraine’s transition from wartime adaptation to a new investment cycle.

Investment and M&A Market in Ukraine 2025 — Wartime Pressures and the Path to Recovery