As we approach the close of 2025, the global mergers and acquisitions (M&A) landscape is buzzing with renewed optimism. Our latest WTW research, conducted in partnership with the M&A Research Centre at Bayes Business School, reveals that dealmakers have significantly outclassed companies not involved in M&A during the first nine months of this year, based on share price performance. This strong showing puts the M&A market on track for its best year since the post-pandemic boom, setting a robust foundation for 2026.
The confluence of pent-up demand, soaring stock market highs, and steady interest rates has fueled a surge in M&A activity, giving buyers every reason to anticipate a strong finish to 2025. Looking ahead, We see five key trends that companies should closely monitor as we step into 2026.
Buyers have demonstrated a remarkable ability to normalize and navigate through uncertainty
In 2026, we anticipate large-scale M&A will be driven by a strategic shift towards de-conglomeration. Companies will increasingly 'buy and build' in pursuit of portfolio optimization
An optimistic outlook
Our outlook for M&A remains optimistic, with forecasts pointing towards increased activity driven by larger deals focused on achieving scale, fostering innovation, and expanding market reach. While volatility will undoubtedly remain a persistent challenge, and CEOs should be prepared for longer planning timelines, history consistently shows that periods of turbulence can offer the greatest potential to create significant value. It's an exciting time to be in M&A.
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