Following a tumultuous start to the year, the global M&A market is experiencing a resurgence. In the first three quarters of 2025, the worldwide deal value increased by 10% to $1.9 trillion compared to the same timeframe last year. This recovery is primarily attributed to a select group of seasoned dealmakers making calculated, strategic investments amid ongoing market fluctuations, as outlined in the 22nd annual Global M&A Report from Boston Consulting Group (BCG). “Despite the global M&A landscape adapting to a new era of uncertainty, India’s M&A environment continues to exhibit impressive resilience and strategic depth.
While the global deal value has seen a modest recovery in 2025, India has maintained above-average transaction volumes since the post-pandemic rebound, highlighting investors’ sustained confidence in the country’s growth fundamentals. Contrary to global trends of increased deal value but reduced volume, India reported a growth in deal activity alongside only a slight 3% decline in value, indicating a healthy market dynamic and ongoing strategic realignment across sectors. Indian dealmaking is also aligning with global trends, with a growing focus on technology, energy, healthcare, and financial services—areas that reflect worldwide hotspots for innovation-driven consolidation.
As global deal sentiment improves, India is well-positioned to spearhead the next wave of strategic transactions, grounded in resilience, digital capabilities, and long-term value creation,” stated Dhruv Shah, Managing Director & Partner at BCG. BCG’s M&A Sentiment Index, a predictive measure of deal activity, has shown increasing positivity across all sectors, with the highest confidence noted in technology and energy. “The global M&A recovery is tangible but varies significantly across regions and sectors,” remarked Jens Kengelbach, BCG’s global head of M&A and a coauthor of the report. “We are witnessing a rise in deal preparations in the latter half of 2025, alongside early indications that IPO pipelines are beginning to take shape.
Momentum is building.” Disparities in geographic and sector performance have become more pronounced. North America dominated, accounting for 62% of global M&A activity, with deals in the Americas totaling $1.3 trillion, a 26% increase from the first nine months of 2024. Europe experienced mixed outcomes, with total European M&A value at $375 billion—a 5% decline from last year, as deal values fell significantly in Spain (-58%), the UK (-35%), and France (-29%), while the Netherlands (+263%) and Switzerland (+109%) saw substantial increases. Asia-Pacific dropped 19% to a decade-low of $284 billion, with only Singapore (+38%) and mainland China (+11%) showing positive trends against declines in South Korea (-13%), India (-20%), and Hong Kong (-73%).
Africa, the Middle East, and Central Asia recorded a 6% increase in total deal value, although activity remains below the 10-year average. Sector-wise, industrials surged by 77% compared to last year, led by transportation and infrastructure transactions, while technology, media, telecommunications (10%), energy (20%), and healthcare (20%) also experienced gains. In contrast, the materials (-16%) and consumer (-17%) sectors saw significant declines in deal value. The return of large-scale transactions is evident, with 27 megadeals (worth over $10 billion) announced in 2025, up from 21 last year. The integration of AI and analytics is becoming crucial for dealmakers—enhancing processes, streamlining due diligence, and improving transaction efficiency.
A slowdown in cross-border activity is noted, with such deals now representing only 30% of global deal value, a decrease from approximately 50% in 2007. BCG’s analysis reveals that intra-regional deals are outperforming domestic ones, yielding a two-year relative total shareholder return (rTSR) of +1.2%, in contrast to -0.9% for domestic deals. However, the scenario varies across regions and sectors. Experienced acquirers continue to outperform, as evidenced by two-year rTSRs of M&A transactions declining during periods of uncertainty (median of -0.4%). Within this uncertainty, a trend emerges: companies with extensive, institutionalized M&A experience tend to excel. For transactions valued over $100 million, the two-year rTSR is approximately 1.0% for seasoned acquirers, compared to -7.5% for those lacking experience.
In uncertain times, straightforward strategies such as roll-ups, same-industry targets, and cross-border deals close to home prove effective. “While uncertainty is often perceived as a barrier to dealmaking, it doesn’t have to be,” commented Daniel Friedman, BCG’s global leader of transactions and integrations, and a coauthor of the report. “Astute dealmakers remain focused on the long-term, making bold, calculated, and disciplined investments that can unlock value even in the most volatile market conditions.”
