Global M&A Activity Rebounds in Q3-2025

Global mergers and acquisitions (M&A) activity has rebounded strongly, with several mega-deals recorded during the third quarter of the year, building on the momentum that began earlier in 2025, according to financial markets platform Dealogic.

The data showed that total value of M&A deals rose to $1.29 trillion in the third quarter of this year, compared to $1.06 trillion in the second quarter and $1.1 trillion in the first quarter.

The first half of the year saw medium- and small-sized deals, while the third quarter saw major deals worth billions of dollars, CNBC Arabia, citing various reports, said.

In its recent report, Mergermarket, a specialist in mergers and acquisitions (M&A) information, said that after a turbulent spring, a surge in megadeals and increased corporate appetite for strategic repositioning boosted M&A activity in the third quarter, giving dealmakers hope for a strong finish to 2025.

The total value of global mergers and acquisitions (M&A) deals during the first nine months of the year reached more than $3.4 trillion, a 32% y-o-y increase, marking the strongest performance since 2021, Mergermarket said.

The boom was driven by mega-deals exceeding $10 billion in value, with 49 such deals announced so far in 2025, the highest number recorded in a nine-month period since data collection began.

The third quarter witnessed two notable events in the global M&A landscape. The first was Union Pacific’s $85 billion acquisition of Norfolk Southern in July, and the second was the $55 billion takeover of Electronic Arts by the Saudi Public Investment Fund, in partnership with Silver Lake and Affinity Partners, marking the largest leveraged buyout in history.

Number of IPOs

Data from EY Parthenon showed that 48% of CEOs surveyed in August planned to close more deals, indicating a continued commitment to expanding acquisitions.

Meanwhile, the number of initial public offerings (IPOs) increased by about 12% y-o-y through early September, according to JPMorgan’s semi-annual M&A Outlook report, driven by strength in the fintech and industrial sectors, along with a resurgence in interest in major technology listings.

Mergermarket President Lucinda Guthrie pointed to structural factors supporting M&A activity, including easing regulatory restrictions, a rise in uninvested capital at private equity firms, and a backlog of pending exits.

According to management consulting firm Bain, the global private equity industry currently holds approximately $1.2 trillion in uninvested funds.

“There is a clear rush toward AI-related assets—such as data, infrastructure, and human capital—at a time when traditional industries are seeking to sell non-core assets to adapt their models to the new environment,” Guthrie said.

According to CNBC Arabia report, When US President Donald Trump returned to the White House, markets anticipated a wave of liberalisation and deregulation policies, along with a favorable tax environment, which would spark a boom in mergers and acquisitions. However, fears of a recession, geopolitical tensions, and concerns about tariffs kept corporate boards on edge.

However, these concerns appear to have completely subsided, as markets witnessed a strong wave of deals driven by expectations of lower interest rates and abundant liquidity among private equity firms.

Jefferies Financial Group recently posted its third-highest quarterly advisory fees in history, indicating that Wall Street’s investment banking engines are back in full swing.