Europe M&A by the Numbers: Q4 2025

The European M&A market declined year over year in both deal value and volume, with the United Kingdom leading the charge despite remaining the top destination. Deal values dropped from $162.7B to $150.9B, with deal volume also dropping from 4,186 to 3,244, marking -7% and -23% decreases in activity. At the sector level, Communication Services and Financials posted strong year-over-year growth. 9 out of the Top 10 deals of the quarter involved a foreign buyer, emphasizing 2025’s strong cross-border M&A activity. In addition, 6 of the Top 10 deals involved the acquisition of an asset or a single division, marking a strong appetite for carve-outs and divestitures.