M&A activity in North America has decreased on a year-on-year basis and companies grapple with global uncertainty, according to latest research from WTW. North American completed deal numbers peaked at 292 completed deals in the first six months of 2021, compared to 187 during the same period last year and 160 so far in 2025 – a 55% fall in deal volume in the past four years. North American acquirers also underperformed their index by -2.5pp. While this showed an improvement compared to the same period last year (-12.4pp), this now represents ten successive quarters of underperformance across the last two and a half years.
European dealmakers led the mergers and acquisitions (M&A) sector with a strong performance during the first half of 2025. Based on share price performance, European buyers outclassed companies not involved in M&A activities by an impressive +9.4pp (percentage points) for deals valued over $100 million during the last six months, reveals new data from WTW’s Quarterly Deal Performance Monitor (QDPM)[1].
Run in partnership with the M&A Research Centre at Bayes Business School, this data reveals a remarkable turnaround compared to the same period last year when dealmakers in Europe underperformed their regional index by -9.2pp. Deal volume in the region remains steady with 64 deals completed during the first six months of 2025 compared to 65 during the same period last year.
Asia Pacific buyers also returned to positive territory with a performance of +3.9pp above their regional index and 100 deals completed in the last six months, significantly up from the 69 closed in the first six months of 2024. This rise in volume has been almost entirely driven by a surge in activity by dealmakers in China, where volume has nearly tripled from 12 transactions completed in the first half of 2024 to 33 already closed this year.
David Dean, Managing Director, M&A Consulting, WTW, said: “Given all the surprises we’ve seen this year it’s hardly surprising that North American acquirers are holding back a bit when it comes to big corporate transations.
“The M&A market rarely stays quiet for long. In response to tariff tensions, a ‘survival of the fittest’ dynamic looks primed to trigger a wave of M&A activity in certain sectors”
David Dean | Managing Director, M&A Consulting, WTW
“However, the M&A market rarely stays quiet for long. In response to tariff tensions, a ‘survival of the fittest’ dynamic looks primed to trigger a wave of M&A activity in certain sectors. Dealmakers in tariff-exposed industries with complex cross-border supply chains may increasingly look to localize supply chains in a bid to make themselves more resilient and resistant to the more volatile geopolitical backdrop.”
In total, 339 deals valued over $100 million were completed worldwide during the first six months of 2025. This compares to a closely-matched 332 transactions closed in the same period last year. The 82 large deals (valued over $1bn) completed in the first half of 2025 are also up from the 69 closed in the first six months of the 2024. The three mega deals (valued over $10 billion) completed so far this year, however, represent a marked decline compared to nine closed during the first six months of 2024.
Globally, buyers marginally outperformed the market by +0.2pp for transactions completed between January and June 2025. This represents a distinct improvement compared to the same period last year when buyers underperformed by -11.1pp and for the first time since 2021 dealmakers have recorded a positive return during the first six months of the year.
The strongest performing industries during the first six months of 2025 were telecommunications (+28.6pp) and materials (+11.6pp), with large deals the best performing deal type (+6.1pp). At the other end of the spectrum, cross-sector deals (-3.1pp) and those valued under $1bn (-2.2pp) struggled the most to add value.
