Bain & Company reports that global M&A activity rebounded sharply in 2025, with total deal value projected to reach $4.8 trillion by year-end, up 36% from 2024 and the second-highest level on record. The recovery was driven largely by a resurgence of megadeals valued at more than
Technology-led transactions, particularly those tied to artificial intelligence, played a central role in the rebound, though Bain found that dealmaking strength was broad-based across industries and regions. U.S. targets accounted for nearly half of total strategic deal value, while Japan’s M&A market doubled in value year over year and Greater China led global deal counts through strong domestic activity. Bain attributed the recovery to improved confidence in valuations, easing financing conditions, and a renewed focus on M&A as a strategic growth lever amid shifting competitive and technological dynamics.
Suzanne Kumar, Executive Vice President at Bain & Company, said, “Amid improved deal market conditions, with both buyers and sellers more confident about valuations, strategic buyers are again putting M&A front and center to drive business growth. The number one reason for increased dealmaking was M&A’s central role in strategy.” At the same time, Bain cautions that large-scale deals carry elevated execution risk, adding that “big bets grounded in sound strategy can transform a business, but deals for less-strategic reasons can be a recipe for value destruction.”