M&A defies geopolitical turmoil and surges 155% as mega deals roar back
The global M&A market is unaffected by volatility and geopolitical tensions: in Q1 2026, the value of completed deals reaches a five-year high, standing at $438 billion (+155% over the last 12 months)
According to the latest edition of the Quarterly Deal Performance Monitor (QDPM) by WTW, from January to March 2026 global M&A deals valued at $10 billion or more reached a record level: 12 were completed, the highest figure for any quarter since 2008.
The surge in “mega deals” also pushed the total value of transactions completed in Q1 2026 to a five-year high of $438 billion, a 155% jump compared to the same period in 2025, when only two such deals were completed.
Also between January and March 2026, 56 “large deals” (over $1 billion) were closed, up from 40 in the first three months of 2025.
The data, compiled in collaboration with the M&A Research Centre at Bayes Business School in London, also show that 215 deals exceeding $100 million were completed worldwide (+32% in volume terms compared to 2025).
Based on share price performance, dealmakers globally outperformed the market, as companies involved in M&A transactions outperformed by +2.5% for acquisitions above $100 million. This marks a sharp improvement from the previous quarter, which recorded an underperformance of -13.9% against the MSCI World index.
Andrea Scaffidi, Total Reward & Executive Solution Managing Director at WTW, stated: “Mega deals are back with great momentum: this signals that dealmakers with strong financial resources have returned to active deal-making with renewed confidence, taking advantage of improved M&A market conditions to pursue large strategic transactions aimed at expanding operations, closing skills gaps and securing critical AI-based technologies.”
In Q1 2026, European dealmakers led the sector with a solid performance: based on share price trends, they recorded +6.0%, with 40 deals closed. UK dealmakers also mirrored the broader European trend with a positive performance. In contrast, Asia-Pacific dealmakers underperformed their regional index by -3.4%, with 49 deals completed. In China, 21 transactions were closed, and dealmakers are maintaining their current positive trajectory following record lows in 2024. North American dealmakers also underperformed their index (-5.4%), with 117 deals completed over the last three months.
Edoardo Cesarini, CEO of WTW, added: “Pent-up deal demand, a favorable regulatory environment and strong balance sheets have revived the market, bringing M&A deal values close to all-time highs. However, the duration and scale of the Middle East conflict risk dampening deal momentum: in the coming months, corporate executives will likely extend timelines and deepen due diligence. Board confidence remains strong, at least for now, as industry players have come to view elevated geopolitical risk as the new normal and appear determined to push through obstacles and advance strategic transactions.”
