IMAP closes 254 M&A transactions worth more than $16 billion in 2025
In 2025, IMAP advisors closed 254 M&A transactions worldwide, demonstrating the continued resilience of the global mid-market in a year shaped by economic uncertainty, geopolitical tension, and evolving capital markets. Transaction activity proved durable throughout the year where strategic rationale, sector fundamentals, and execution certainty aligned.
Challenging Macro Environment Reshapes Dealmaking
Market conditions in 2025 were challenging. Proposed tariff regimes, ongoing trade tensions, and uneven monetary policy trajectories contributed to a cautious environment for buyers and lenders alike. Financing remained selective, diligence processes lengthened, and valuation gaps persisted across many sectors. As a result, dealmaking did not disappear—but became more deliberate, structured, and quality-driven.
IMAP’s Quality-Driven Transaction Performance
IMAP’s performance reflects this shift. Transactions increasingly centered on businesses with strong market positions, defensible cash flows, and clear strategic relevance. Clients relied on IMAP not only for execution, but for guidance through complexity—particularly in cross-border situations, extended processes, and transactions requiring creative structuring to bridge risk and valuation considerations.
Cross-border activity remained a defining strength in 2025, accounting for more than one-third of IMAP transactions, as clients leveraged the partnership’s international reach to access capital, buyers, and strategic opportunities beyond domestic markets.
Key Sector Trends Driving Deal Flow
From a sector perspective, Industrials, Services, Technology, and Consumer once again formed the core of deal flow, driven by long-term structural trends including consolidation, digital transformation, and energy transition. Across these sectors, transaction activity was supported by succession events, corporate portfolio reshaping, and selective Private Equity participation. PE sponsors remain disciplined in deployment, focused on high-quality assets and structured solutions amid ongoing financing and valuation constraints. Pressure to deploy capital and realize exits continued to build through the year, shaping expectations for increased momentum ahead.
M&A Outlook for 2026: Conditions for Renewed Momentum
Jurgis V. Oniunas, IMAP Chairman, commented:
“IMAP partners delivered a resilient performance in 2025, achieving strong deal volumes across key markets despite macroeconomic headwinds and heightened due diligence. Core mid-market activity remained robust, supported by Private Equity, corporate divestments, and expanding private credit. Looking ahead to 2026, easing inflation and lower interest rates are expected to support improved deal flow, while geopolitical, trade, and regulatory risks will continue to shape execution. IMAP partners remain prepared to guide clients through these increasingly complex environments!”
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Jurgis V. Oniunas
IMAP Chairman
At the start of the year, the outlook for Q1 was highly optimistic, with expectations of slowing inflation, lower interest rates, and improving growth projections. Unfortunately, we live in interesting times. Early in the year, speculation around the disruptive impact of AI on traditional SaaS business models triggered a significant revaluation in parts of the Software sector. More recently, escalation in the Middle East conflict has introduced fresh volatility – pushing oil prices higher, adding upward pressure on inflation, and creating supply-chain uncertainties. While it is too early to tell how these new shocks will eventually affect the global M&A market, we can be sure that our dealmakers around the world are on the ground every day – negotiating, re-evaluating, adjusting positions, and adapting to whatever the environment throws at them to deliver the best outcomes for their clients. They’ve done it for over 50 years, and that’s exactly what they’ll continue to do, no matter the conditions.
