Merger and acquisition activity continues to grow amid global uncertainty in Cyprus

Global mergers and acquisitions (M&A) activity experienced a 10% increase in the first nine months of 2025 compared to the same period in the previous year, demonstrating a steady recovery despite uncertainties related to US tariff policies and geopolitical tensions as reported in a recent study.

The Boston Consulting Group Global M&A Report highlighted that deal volumes reached $1.938 trillion from January to September, a rise from $1.763 trillion during the equivalent period in 2024. This increase marked the second consecutive upswing and represented the highest total during this timeframe since 2022 when the M&A activity amounted to $2.17 trillion.

According to BCG, although challenges like geopolitical tensions and fluctuating tariff policies have led certain dealmakers to pause their activities, many others have continued to move forward strategically. However, despite this progress, the total volume still fell more than 40% below the $3.3 trillion recorded during the same period in 2021.

The study revealed that over 60% of the M&A transactions in 2025 were centered around targets in North America, with their value increasing by just over a quarter to $1.2 trillion compared to the previous year. Conversely, in Europe, M&A deal volumes decreased by 5% to $375 billion during the same periods.

The report also outlined that a significant portion of the M&A activity, around $536 billion, stemmed from industries such as technology, media, and telecommunications, while financial institutions and real estate contributed $357 billion and industrials accounted for $280 billion.

Despite fluctuations in the European market, the United Kingdom remained the largest M&A market in the continent, although the value of deals there saw a 35% decrease. Spain and France experienced declines of 58% and 29%, respectively. In contrast, the Netherlands saw a substantial surge of 263% in M&A activity, with Switzerland following closely at 109%. Germany witnessed a rise of 45%, Italy 28%, and the Nordics 31%.

Overall, the Asia-Pacific region experienced a 19% decline in M&A activity, reaching a 10-year low of $284 billion. Despite these fluctuations in various regions, the global M&A landscape continues to show signs of recovery and strategic movement, setting the stage for potential growth and opportunities in the future.