Most corporate executives predict global M&A activity in 2026 will exceed that of 2025: the total value in the first half has already reached $2.85 trillion.

Original content. First published on WeChat Official Account: The Blue Stars. This article is original content by "The Blue Stars". "The Blue Stars" is a brand under "Guava Fragrance". In the first half of 2026, global M&A transaction value totaled $2.85 trillion—up a robust 50% year-on-year compared to the same period in 2025—marking the strongest start to a year since records began in 1980. NYC According to a report jointly released by law firm Norton Rose Fulbright and M&A intelligence firm Mergermarket, despite ongoing regulatory uncertainty clouding the deal market, over half of global business leaders expect M&A activity to increase in 2026. The report, titled "Global M&A Trends and Risks 2026", reveals that 52% of executives anticipate transaction volume this year will surpass 2025 levels, with 20% expecting a significant increase. By contrast, in the 2025 survey, only 38% of respondents expected M&A activity to rise. Global M&A trends and risks 2026 Respondents expect technology-related deals to lead cross-border M&A growth in 2026, with AI serving as the primary catalyst for these opportunities. Nearly one-quarter (24%) of respondents stated they are actively seeking to acquire companies that heavily deploy AI technologies—a figure rising to 38% among private equity respondents. Moreover, private equity is viewed as a key driver behind heightened deal activity in 2026. Forty-eight percent of respondents ranked it alongside industry consolidation (45%) and divestiture of non-core assets (37%) as one of the three main drivers of new transaction activity. A vast majority of respondents (86%) also indicated that private credit will remain a critical source of M&A financing over the next two years; meanwhile, 19% expect such financing to become more readily available. Global M&A trends and risks 2026 Key findings At the same time, 48% of respondents believe U.S. deal activity will see significant growth in 2026, while 43% anticipate similar momentum in Europe. For insights into the strong M&A performance of U.S. BigLaw firms during the first half of 2026, see the article: "After posting its highest-ever annual revenue of $10.6 billion, Kirkland & Ellis tops the global M&A league table." In actual data terms, Q2 2026 saw transaction value reach $1.6 trillion—up 31% from Q1 2026—and marked the fourth consecutive quarter exceeding $1 trillion, setting a new record as the largest quarterly M&A volume globally. However, the total number of deals announced in the first half of 2026 exceeded 24,500—down 9% year-on-year and the lowest level in six years (note: while deal count declined, average deal size surged significantly).

In Q1 2026, Ruishou Analysis monitored 604 M&A transactions totaling RMB 401.052 billion.

In Q1 2026, China’s M&A market exhibited pronounced regional concentration, with activity heavily clustered along the eastern coastal regions, while central and western regions remained relatively subdued. In terms of transaction count, the largest number of newly disclosed M&A deals in Q1 2026 occurred in Guangdong Province (55 deals), followed by Zhejiang (42) and Jiangsu (39). In terms of transaction value, Shanghai led all regions with RMB 92.174 billion, followed by Henan (RMB 15.061 billion) and Anhui (RMB 9.132 billion). This exceptional performance in Shanghai was largely driven by two major deals announced in Q1 2026: ByteDance’s sale of Moonton Technology to Savvy Games Group for over USD 6 billion, and Merck’s proposed all-cash acquisition of TopAlliance Biosciences for nearly USD 6 billion. Both target companies are registered in Shanghai, and these two large-scale transactions significantly elevated Shanghai’s overall Q1 2026 M&A value. 03 Analysis of Target Companies (First-Disclosed Transactions) Transaction values concentrated below RMB 10 million; companies established within the past five years were the primary targets. By individual transaction value, Q1 2026’s newly disclosed M&A deals were predominantly valued below RMB 10 million—accounting for 87 deals, or 29.90% of all disclosed transaction values. The next most common ranges were RMB 100–200 million (51 deals), RMB 200–500 million (38 deals), and RMB 50–100 million (33 deals). Regarding target company founding dates, companies established within the past five years constituted the primary M&A targets in Q1 2026, totaling 117 entities—or 28.61% of all disclosed target companies. This was followed by those founded 5–10 years ago (97 companies) and 10–15 years ago (68 companies). 19 listed companies acquired, involving RMB 16.466 billion in transaction value. According to Ruishou Analysis, among the 409 newly disclosed M&A deals in Q1 2026, 19 involved the acquisition of listed companies—i.e., changes in control of 19 listed entities—with a combined transaction value of RMB 16.466 billion, averaging RMB 867 million per deal. 04 Analysis of Acquisition Methods (First-Disclosed Transactions) Agreement-based acquisitions remain dominant; demand for market expansion remains strong. By acquisition method, agreement-based acquisitions continue to dominate China’s domestic M&A market, accounting for 77.39% of deals, followed by capital increases (8.29%) and share issuance for asset purchases (7.04%). From the acquirers’ perspective, horizontal integration remains the primary strategic objective, representing 50.39% of deals—meaning nearly half of all domestic M&A activity in Q1 2026 aimed primarily at expanding market presence, optimizing market positioning, and advancing long-term corporate development. Other objectives accounted for 17.92%, and asset restructuring for 16.10%. 05 Analysis of Institutional Participation (First-Disclosed Transactions) Healthcare and energy & power sectors are the most concentrated industries where institutions enter via M&A. Among the newly disclosed M&A deals in Q1 2026, institutions participated as bidders in 40 transactions, concentrated primarily in healthcare (8 deals), energy & power (7 deals), and traditional industries (6 deals).

M&A Activity: Tuesday, November 3, 2026

3 hours ago

Four M&A transactions were announced for the week ending November 2, with year-to-date volumes and values trending below 2025 levels. The week's most notable deal involved LyondellBasell agreeing to sell its assets.

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