The global M&A boom is rolling into 2026 as AI sparks deal frenzy — but cash is getting tight

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The global mergers and acquisitions boom that defined 2025 is carrying into 2026, as companies reassess their portfolios and artificial intelligence-led demand fuels large-scale transactions. However, a tightening capital pool is forcing executives to be more selective than ever.

Despite a sluggish start as Trump’s sweeping tariffs early last year briefly scuttled acquisitions and new public listings, the total value of deal-making activity surged 40% to $4.9 trillion in 2025, according to Bain & Company’s annual M&A report.

That marked the second-highest level on record, trailing only the $5.6 trillion peak in 2021, when low borrowing costs and buoyant equity markets propelled a historic dealmaking frenzy.

Dealmaking activity last year rebounded as central banks cut interest rates, valuations improved and companies increased spending on artificial intelligence.