Big-ticket deals drive M&A as market braces for volatile start to 2026

NEW YORK, January 8, 2026 — Global mergers and acquisitions (M&A) registered increased activity for the second consecutive year with 726 deals completed in the last 12 months, according to research from leading global advisory, broking and solutions company, WTW’s (NASDAQ: WTW) Quarterly Deal Performance Monitor (QDPM). A 2% rise in volume for completed deals valued over $100 million, compared to 710 transactions in 2024^[1], signals a return to pre-pandemic levels.

Run in partnership with the M&A Research Centre at Bayes Business School, the data reveals the aggregate performance gap between buyers and companies pursuing organic growth significantly narrowed in 2025. M&A transactions only marginally underperformed companies not involved in deals by -0.5pp (percentage points). This is a marked improvement compared to the previous year when acquirers underperformed by -10.9pp. In addition, 32% of companies completing deals successfully outpaced the wider market, despite the challenge of competing with stock markets surging to record highs.

Global M&A deals – Annual performance

In 2025, the value of completed deals rose to $933 billion (an 11% increase from 2024). The continued uptick in large transactions (valued over US$1 billion) dominated M&A activity, rising by 14% during the last 12 months at 201 completed deals compared to 177 in 2024. The average global size of large M&A deals also hit a new high of $2.9 billion in the second half of 2025, a 23% year-on-year increase.

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Large-scale deals are fueling the market, but they also carry significant risks and can make it challenging to protect and enhance value. Major investments based on a solid strategy have the power to transform a company and set the stage for long-term growth. However, deals that lack a clear, strategic purpose can quickly lead to the loss of value”

David Dean | Managing director, M&A consulting

“Large-scale deals are fueling the market, but they also carry significant risks and can make it challenging to protect and enhance value. Major investments based on a solid strategy have the power to transform a company and set the stage for long-term growth. However, deals that lack a clear, strategic purpose can quickly lead to the loss of value,” said David Dean, managing director, M&A consulting.

All regional acquirers except Europe underperformed their respective regional index for 2025. European dealmakers outperformed their index by +4.7pp, compared to +0.7pp in 2024, with 153 deals completed in 2025, on a par with the 155 deals closed the previous year. Reflecting the wider European trend, British acquirers also outperformed the index by +9.0pp across the 33 deals completed in 2025.

Asia-Pacific buyers were -2.1pp below their regional index with 199 deals completed in 2025, a year-on-year deal volume increase of 22%. Chinese buyers rebounded with 64 deals in 2025, up from a record low of 31 the previous year. North American acquirers underperformed by -1.5pp with 348 deals in 2025, compared to -8.7pp and 361 deals in 2024.

The uptick in M&A activity during 2025, including a dramatically improved performance of +11pp in Q3, was tempered by a sharp reversal by dealmakers in the final three months that saw a record quarterly negative performance of -13.9pp below the MSCI World Index.

Dean said: “Deal activity and overall optimism increased in 2025, driven by strong equity markets, relative economic stability, interest rate cuts, and a surge in AI adoption. Looking ahead, achieving the right scale will be crucial, as the market continues to favor larger companies that can withstand the sharp and unpredictable swings in M&A activity—now the “new normal” for dealmakers facing ongoing geopolitical uncertainty.”

WTW QDPM Methodology

• All analysis is conducted from the perspective of the acquirer.
• Share-price performance within the quarterly study is measured as a percentage change in share price from six months prior to the announcement date to the end of the quarter.
• All deals where the acquirer owned less than 50% of the shares of the target after the acquisition were removed, hence no minority purchases have been considered. All deals where the acquirer held more than 50% of target shares prior to the acquisition have been removed, hence no remaining purchases have been considered.
• Only completed M&A deals with a value of at least $100 million which meet the study criteria are included in this research.
• Deal data sourced from LSEG.

About WTW M&A

WTW’s M&A practice combines our expertise in risk and human capital to offer a full range of M&A services and solutions covering all stages of the M&A process. We have particular expertise in the areas of planning, due diligence, risk transfer and post transaction integration, areas that define the success of any transaction.

About WTW

At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.

Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you.

Footnote

1. The M&A research tracks the number of completed deals over $100m and the share price performance of the acquiring company against the MSCI World Index, which is used as default, unless stated otherwise. Return to article undo