80% of M&A Executives Expect Higher 2026 Deal Activity After 40% Value Surge
Updated
Updated · CFO.com · May 18
80% of M&A Executives Expect Higher 2026 Deal Activity After 40% Value Surge
4 articles · Updated · CFO.com · May 18
80% of 303 M&A executives surveyed by Bain said they expect deal activity in 2026 to hold steady or rise, extending momentum after a strong second half of 2025.
40% growth in aggregate annual deal value last year was driven by improving macro conditions, a backlog of private equity and venture capital exits, and pressure on outdated business models.
Q1 2026 already outpaced expectations, with strength especially pronounced in mega-deals worth $10 billion or more.
45% of practitioners used AI in M&A in 2025—more than double the prior level—and about one-third now deploy it systematically or are redesigning processes around it.
Bain says technology disruption, post-globalization and shifting profit pools will push companies in 2026 to rethink portfolios, use M&A and divestitures more aggressively, and make bigger strategic bets.
As AI's power demand soars, is energy M&A becoming the new chokepoint for tech growth?
With AI speeding up dealmaking, how are firms solving the human problem that causes most mergers to fail?
With a $3.8 trillion backlog of unsold companies, are secondary markets replacing IPOs as the top exit strategy?
2025 M&A Rebound: $4.7 Trillion in Deals Driven by Megadeals, AI, and Strategic Reshaping
Overview
In 2025, the global M&A market rebounded strongly, with deal volumes reaching their highest level in four years. This surge was driven by a significant increase in megadeals—transactions valued at $1 billion or more—which jumped 28% year-over-year and generated $2.6 trillion, making up over half of all M&A value. Large deals over $10 billion also hit a new high, contributing $1.1 trillion. Improved investor confidence and worldwide interest rate cuts fueled this momentum, setting the stage for continued growth and an optimistic outlook for 2026.