Middle East's investment banking boom hits record high in 2025
In 2025, the Middle East's investment banking landscape was defined by a surge in strategic transactions, as companies and governments alike sought to capitalize on post-pandemic growth, energy diversification, and capital market reforms.
The M&A space continued to focus on consolidation in the energy sector, while regional wealth funds and sovereign entities expanded their portfolios globally. In line with these trends, KFH Capital emerged as the frontrunner in Islamic finance, executing a record number of sukuk issuances for both sovereigns and corporates, including the landmark $3 billion deal for Saudi Aramco.
As Middle Eastern nations accelerate their economic diversification and regional integration, these top investment banks are playing a pivotal role in shaping the region's financial future.
Best Investment Bank
KFH Capital
KFH Capital led some of the largest mandates in the Middle East, successfully executing over $60 billion in transactions since launching in 1999. The Sharia-compliant firm is particularly strong in DCM, where it led 16 issuances for both sovereign and corporate clients in the region during 2025. Key sovereign mandates include $1 billion sukuk offerings for Egypt, Oman, and Qatar. On the corporate side, KFH serves some of the region's highest-profile clients, particularly in the energy sector. That included a $3 billion sukuk issuance for Saudi Aramco and $1.5 billion sukuk issuances for ADNOC in the UAE. More broadly across the region, KFH issued $500 million in tier-1 capital securities for state-owned Turkish Islamic bank, Vakif Katilim Bankasi. Additionally, the $600 million lease certificate issuance for TT Varlik Kiralama was the first of its kind for a Turkish telecommunications company.
M&A
Standard Chartered
Standard Chartered Bank's M&A franchise in the Middle East serves large multinational clients through a team of over 130 bankers with extensive sector experience across the oil and gas, metals and mining, diversified industries, and cleantech industries. These capabilities, combined with the bank's long-standing tenure in eight countries in the region, helps the firm capture significant M&A mandates.
The bank was the sole financial adviser to Saudi Aramco in the acquisition of a 25% stake in Unioil Petroleum, one of the largest independent oil companies in the Philippines.
This helped Aramco diversify its supply sources. In the power and energy sector, the bank advised Abu Dhabi's Multiply Group in the 3.9 billion Emirati dirham (roughly $1.1 billion) sale of its district cooling business in the UAE. On the African continent, Standard Chartered advised industrial infrastructure developer Arise on all transaction elements of an equity capital infusion to facilitate the deal execution. The bank also advised Indian multinational Tata Group's Titan watchmaking and fashion products subsidiary on the acquisition of a controlling 67% stake in Dubai-based luxury retailer Damas Jewellery for an enterprise value of just over 1 million dirhams.
Equities
EFG Hermes
Based in Egypt and active for 40 years on two continents, the Middle East franchise of EFG Hermes covers Bahrain, Kuwait, Oman, Saudi Arabia, and the UAE, with an additional presence in Kenya and Nigeria. With this extensive footprint across the region, EFG Hermes demonstrated its leadership in ECM by securing 15 mandates involving a range of sectors. Many of these involved IPOs, including Almoosa Healthcare's $449 million issuance in Saudi Arabia, online retailer Nice One for about $323 million, Specialized Medical's for $500 million, and vehicle-lease firm Cherry Trading generating 252 million Saudi Arabian riyals (roughly $67 million) in proceeds.
One of the Gulf Cooperation Council's leading education groups, Al Masar Al Shamil strengthened its position with 599 million riyals in IPO proceeds. In the UAE, construction firm Alec Holdings raised $381 million, while IT services and consulting firm Alpha Data raised $163 million to expand its digital offerings in the region. As part of Oman's privatization strategy and capital markets reform, state-owned maritime operator Asyad Shipping launched its IPO raising $332.8 million. Additionally, EFG Hermes facilitated a dual listing on the Abu Dhabi securities exchange for Egyptian Orascom Construction.
Debt
KFH Capital
KFH Capital continues to advance Islamic finance in the region by arranging a number of large Sharia-compliant transactions for sovereign and corporate issuers. During 2025, the bank arranged a $1 billion sukuk private placement for the government of Egypt. In Oman, a $1 billion sukuk issuance represented the country's first international capital markets transaction since 2021. For the State of Qatar, the bank participated in a $4 billion issuance that included $3 billion in sukuk, and a $1 billion conventional bond offering that was issued at the tightest credit spread ever for the country. The firm also served as bookrunner when Saudi Aramco raised $3 billion in sukuk. And the $1.5 billion sukuk issuance for UAE-based ADNOC was among the largest high-grade corporate Islamic debt deals ever. For the state-owned Saudi Real Estate Refinance Company, KFH facilitated the $2 billion issuance that will help expand the country's housing finance market.
