Key facts
- Global M&A reached a record $2.8 trillion in the first six months of 2026.
- The value of announced deals increased by 48% year-on-year.
- Mega-deals, defined as over $10 billion, accounted for nearly 50% of global volumes.
- Technology was the largest sector for dealmaking, with $649 billion in announced transactions.
- Cross-border M&A activity saw its best start since 2018, reaching $893 billion.
Global merger and acquisition activity surged to a record $2.8 trillion in the first half of 2026, driven by a significant increase in large-scale 'mega-deals' valued at over $10 billion. Data from LSEG shows that while the total value of announced deals rose 48% year-on-year, the number of transactions fell 9% to a six-year low.
Blockbuster deals, including NextEra Energy's $66.8 billion merger with Dominion Energy and SpaceX's approximately $60 billion purchase of Cursor, dominated the landscape. These 47 deals, each exceeding $10 billion, accounted for nearly 50% of global M&A volumes, marking an all-time record for such large transactions in a first half.
Advisers noted that companies are taking advantage of a more accommodating regulatory environment and available financing to pursue strategic assets. "Financing is available in size," said Jay Hofmann, JPMorgan's North America co-head of mergers and acquisitions, enabling companies to position themselves for the future. Ivan Farman, co-head of Global M&A at Bank of America, observed that the focus on larger deals reflects a view that a $1 billion to $3 billion transaction takes as much time as a bigger one, making large opportunities more attractive.
Investors are prioritizing scale and focus, with larger companies exhibiting stronger competitive advantages trading at better multiples. This has led to long-held 'dream deals' being actively pursued by CEOs and management teams. Some dealmakers anticipate that current activity could surpass the post-pandemic M&A peak of 2021.
Regulatory landscapes are also seen as more favorable, with European policymakers proposing rule overhauls to foster local champions and the Trump administration appearing receptive to large U.S. combinations. In Asia, cash-rich Japanese corporations are expected to increase dealmaking, influenced by proposed revisions to Japan's governance code emphasizing efficient cash use.
"Momentum has actually started to accelerate behind the scenes over the last six weeks with a growing pipeline of cross-border, strategic deals," said Jan Weber, head of mergers and acquisitions for Europe, Middle East and Africa at Morgan Stanley. He added that indicators suggest a favorable environment for more M&A, with boards feeling the need to act.
Companies are also actively engaging in corporate separations, such as Comcast's planned spinoff of NBCUniversal, Honeywell's three-way split, and the sale of Unilever Foods to McCormick & Co. This trend reflects a market that is increasingly hesitant to embrace overly diversified businesses, favoring focus and reduced complexity.
Financing for acquisitions remained robust, with global investment-grade corporate debt issues totaling $3.4 trillion, a 10% increase year-on-year. Technology continued to be the dominant sector for dealmaking, with $649 billion in announced transactions globally. "AI or AI adjacent industries are one half of the equation, particularly in the U.S.," noted Sam Newhouse of Latham & Watkins, with the other half being heavy assets and infrastructure.
Cross-border M&A reached $893 billion in the first half, a 62% increase from the previous year, marking the strongest start since 2018. The U.S. was the most targeted country, accounting for 25% of these transactions, with Britain closely following. Kirshlen Moodley of BNP Paribas highlighted a trend of more UK corporates looking outward for deals, rather than solely being targets.