The number of disclosed private investment deals in the East African region rose to 41 in the first four months of the year, up from 34 a year earlier, despite tougher external financing conditions for private equity (PE) and venture capital firms.

These corporate deals include mergers, acquisitions, PE investments and exits, and investments by venture capital firms and development finance institutions (DFIs).

Kenya accounted for the bulk of the deals with 23 transactions, followed by Uganda (10), Ethiopia and Tanzania (3 each), and Rwanda (2).

Analysis of regional deals by advisory firm I&M Burbidge Capital, however, shows that the disclosed value of this year’s deals fell to $324.4 million (Sh41.9 billion) from $685.3 million (Sh88.6 billion) in the first four months of 2025.

The lower disclosed value relative to the number of deals suggests that many of the transaction values were kept private. It may also indicate that the transactions had lower ticket prices compared to the corresponding period last year.

Several PE and venture capital firms do not announce the financial value of their transactions, citing confidentiality clauses in deal agreements.

This year, the firms have transacted deals under difficult investment conditions due to the war in Iran. I&M Burbidge Capital noted that higher inflation has been driving capital flows toward developed markets, making it harder for emerging and frontier economies to attract investments.

“Global macroeconomic conditions in April 2026 remained challenging as persistent inflation, elevated energy prices, and geopolitical tensions continued to pressure emerging markets,” said I&M Burbidge Capital in its review.

“Nevertheless, resilient infrastructure investment, regional trade integration, and growth in agriculture and services continued to support East Africa’s medium-term investment outlook despite heightened global volatility.”

I&M Burbidge Capital tracks such deals every month in Kenya, Uganda, Tanzania, Rwanda and Ethiopia, segregating them by sector and the type of institutions involved.

Nairobi’s status as the regional financial and air transport hub helps attract deals to the country, including for those firms looking to establish a regional presence.

In Kenya, some of the larger deals this year have included the Sh5.2 billion acquisition by German air cargo company Celebi Cargo GmbH of freight handling firm Transglobal Cargo Centre Limited from businessman Peter Muthoka.

Transglobal, trading as Africa Flight Services (AFS), handles export freight such as flowers and vegetables at Jomo Kenyatta International Airport (JKIA).

In other deals, agriculture firm AgDevCo made a Sh1.94 billion follow-on investment in Victory Group, an East African aquaculture company producing and distributing Nile tilapia on Lake Victoria.

Nigerian lender Zenith Bank also completed the full acquisition of Kenya’s Paramount Bank Limited in April for an estimated Sh996 million, marking its entry into the East African market.

Read: CAK approves Zenith’s buyout of Kenya’s Paramount Bank

In January, global fund Mirova also announced a Sh2.45 billion investment in Cold Solutions Kiambu, which provides temperature-controlled warehouse and logistics services for the agriculture and pharmaceutical sectors in Kenya.

In terms of deal types, private equity investments have been the most common in the region at 25 this year, followed by mergers and acquisitions at nine transactions, venture capital investments (four), DFI investments (three) and one PE exit.

In the first four months of 2025, there were 11 PE and venture capital deals apiece, seven mergers and acquisitions, four DFI investments and one PE exit.

→cmwaniki@ke.nationmedia.com

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