Shift toward biologics, localisation and tech-transfer expected to drive a surge in deal-making ahead of World Health Expo 2026, according to a new Grand View Research study.
Dubai, UAE, Nov 27 – A new study by Grand View Research forecasts a sharp rise in life-sciences M&A across the Middle East as Gulf governments intensify efforts to build a globally competitive biotech and health-technology manufacturing base. With the UAE’s Life Sciences Strategy and Saudi Vision 2030 accelerating investment into advanced therapies, biologics and supply-chain localisation, analysts say the region is entering a decisive phase of consolidation ahead of next year’s World Health Expo (WHX), formerly Arab Health, in Dubai.
The report places Dubai at the centre of this shift, positioning the city as a platform for cross-border partnerships and capacity-building. “Dubai and the broader GCC now sit at the crossroads of science, capital and policy,” said Swayam Dash, Managing Director of Grand View Research. “That convergence is catalysing a wave of acquisitions and joint ventures. Localisation is no longer just about cost – it’s about creating a viable ecosystem for advanced therapies that can serve the region and export beyond it.”
According to the study, the Middle East healthcare CDMO (Contract Development & Manufacturing Organisation) market was valued at USD 6.27 billion (Dh23b) in 2024 and is projected to almost double to USD 11.91 billion (Dh43.7b) by 2033 (CAGR 7.5%).
Similarly, the region’s large and small-scale bioprocessing market is set to more than double from USD 1.16 billion (Dh4.26b) in 2024 to USD 2.44 billion (Dh9b) by 2033.
Localisation push fuels dealmaking
“We are seeing a decisive move from the Gulf to localise production – not in small steps, but through strategic investments across biologics, biosimilars, and cell-based therapies,” Dash said.“This is creating a natural pull for M&A. Global players want access to the region’s growth and governments want to build capability fast – the result is a strong pipeline of consolidation, particularly in CDMO, bioprocessing and cell therapy inputs.”
The report by the San Francisco-headquartered global firm also notes that small molecules still dominate the CDMO landscape at nearly 36% of revenues, though biologics, biosimilars and cell therapies are now shaping the strategic priorities of investors. Outsourcing is also accelerating, as drugmakers seek lower costs, faster time-to-market and improved supply-chain resilience.
The cell therapy raw materials market – a small but strategic segment – is forecast to grow nearly fourfold, from USD 39.2 million (Dh144m) in 2024 to USD 169.8 million (Dh623.5m) by 2033, one of the fastest CAGRs globally at 17.8%.
Dubai emerging as a life-sciences hub
According to GVR, Dubai’s position as a regulatory neutral, logistics-optimal base between Asia, Europe and Africa is giving it an edge as companies look for manufacturing and R&D footholds.
“Dubai is becoming an anchor point for regional life-sciences supply chains – from clinical trials to small-batch biologics manufacturing,” Dash added. “Its combination of investment incentives, free-zone frameworks and access to global talent makes it a natural coordination centre for M&A activity across the Middle East.”
The emirate’s growing number of biotech accelerators and digital-health pilots is also reshaping the HealthTech landscape, as companies explore acquisitions in AI-enabled diagnostics, remote monitoring and precision-medicine platforms.
Challenges persist despite growth outlook
The report warns that despite the bullish outlook, delays in regulatory harmonisation and persistent gaps in specialised talent could slow execution timelines for large cross-border deals.
While the pharmaceutical CDMO segment is projected to grow from USD 3.50 billion (Dh12.85m) to USD 5.39 billion (Dh19.79) by 2033, its more modest CAGR of 4.9% reflects pockets of maturity where buyers may need to rely on niche capabilities for value creation.
Still, Dash says the direction of travel is clear: “The Middle East does not just want to be a buyer of advanced therapies anymore – it wants to be a maker. That requires consolidation, capability acquisition and long-term partnerships.”
As deal activity heats up, the region’s upcoming World Health Expo (WHX) 2026 is expected to become a key showcase for inbound and outbound investment, technology partnerships and cross-border consolidation. GVR predicts that a number of global biopharma, biotech and CDMO companies will use WHX as a platform to announce joint ventures, capacity investments, and research collaborations in the GCC.
According to analysts, the next 24 months could be decisive: companies that invest now in advanced therapies, upstream manufacturing and regional supply chains may well emerge as leaders in a Gulf-based life-sciences hub – with M&A as the catalyst.
About GVR :
Grand View Research is a global leader in market intelligence and consulting, delivering syndicated and custom research reports across more than 45 industries worldwide. With a robust reach that spans across North America, Europe and Asia, we serve Fortune 1000 companies, investors, governments, startups, and academic institutions seeking data-driven insights and growth strategies. Now expanding further, we are proud to announce our new office in Dubai, marking our official entry into the Middle East. With Dubai emerging as a global hub for commerce and knowledge, Grand View Research’s new office positions us at the heart of a high-growth market that bridges Asia, Europe, and Africa. Grand View Research aims to support businesses in the region with precise market intelligence and business consulting services across all domains – helping regional organizations harness global trends, identify growth opportunities, and make confident strategic decisions.
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