Global M&A rebounds 40% to US$4.9t in 2025 despite capital constraints

Telecom deals slumped in Q3 as sector momentum diverges, Bain says

Global mergers and acquisitions deal value rebounded 40% to US$4.9t in full-year 2025, marking the second-highest annual total on record, Bain & Company said in its Global M&A Report 2026.

A Bain survey of 300 M&A executives found that 80% expect deal activity to be sustained or increase in 2026, supported by improving macro conditions and a growing backlog of private equity and venture capital assets positioned for exit, the consultancy said.

Technology disruption, geopolitics and post-globalisation, and shifting portfolio strategies and profit pools are shaping dealmaking into 2026. Advances in artificial intelligence, robotics and quantum computing are influencing transactions, with almost half of technology sector deals already involving an AI component, according to the report.

Use of AI tools in dealmaking expanded during 2025, with 45% of executives surveyed reporting AI usage in M&A, Bain said. About one-third of respondents indicated they are using AI systematically or redesigning deal processes around it.

Despite the global rebound, the report highlighted uneven momentum across sectors, pointing to a sharp slowdown in telecom M&A during 2025. Global telecom deal value fell to about US$6.5b in the Q3 2025 from about US$49b in the previous quarter.

The year-to-date telecom deal value of US$72b through Q3 2025 was 34% lower than the same period in 2024, the consultancy said. The Americas accounted for 85% of global telecom M&A value year to date, with five leading  transactions out of 54, accounting for more than 75% of total sector deal value.