The number of transactions in Croatia rose from 35 in 2013 to 39 in 2014, totalling $1 billion, as against $400 million in 2013.
Lena Habus, Director at EY Advisory Service, said on Thursday that 2014 was the second consecutive year in which M&A increased and that the increase could be expected this year too, including "market consolidation in some sectors."
She said "further activity" could be expected in tourism too, because it was "interesting" to both foreign and local investors. "Further announcements of privatisation and the disinvestment of some companies will also impact M&A activity in 2015."
In Croatia, 56% of all transactions were domestic.
In the region, decisions on acquisitions in 2014 were mostly strategically oriented, including in Croatia, where 79% of transactions referred to strategic and 21% to financial investors, Habus said.
The top M&A transaction in Croatia last year was the purchase of the Croatia Osiguranje insurance company by the Adris tourism and tobacco group, followed by the purchase of the Istraturist tourism company by the Plava Laguna tourism company.
EY analysed the values of 1,304 M&A transactions in Bulgaria, the Czech Republic, Greece, Croatia, Hungary, Poland, Romania, Slovakia, Slovenia, Serbia, and Turkey.
Turkey saw the highest number and value of transactions, with 305 worth $12.3 billion, while Serbia recorded the smallest value ($200 million).