- U.S. M&A activity accelerated in September 2025 with 1,146 deals (+11.2% MoM) and total deal value up 41.8% from August.
- On a rolling three-month basis, only seven of 21 sectors grew year over year, led by Technology Services and select non-energy, commercial, consumer, and process industries.
- Finance, producer manufacturing, distribution, health services, and transportation posted the steepest year-over-year declines in deal volume.
- Mega-deals dominated the month, including a ~$52–55B EA LBO proposal, SpaceX’s ~$17B EchoStar spectrum purchase, CapVest’s ~$11.7B STADA stake, and KKR/CPP’s $10B Sempra Infrastructure stake.
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September 2025 marked a sharp intensification in U.S. merger and acquisition activity, both in volume and deal value. Compared to August, there was an increase of roughly one-tenth more deals and over 40% more capital deployed. These gains suggest improving confidence among strategic and financial buyers. Macro factors likely include moderating interest rates, strong corporate cash balances, and renewed clarity in regulatory policy—elements that typically fuel larger dealmaking. Supporting this, EY projects that deal volume for the full year 2025 will exceed 2024 by about 10%, with further modest growth (~3%) anticipated in 2026.
The strength of certain sectors—Technology Services, Non-Energy Minerals, Commercial Services, Consumer Services, Process Industries—points to where momentum lies: tech-adjacent services, resource sectors beyond energy, and consumer tag-along services. Conversely, weakening activity in Finance, Producer Manufacturing, Distribution, Health Services, and Transportation underscores potential headwinds: regulatory pressures, margin challenges, supply chain constraints, and perhaps overhangs from legacy assets underperforming.
At the deal-level, several mega-transactions dominate the headlines and reshape strategic positioning. The proposed $52.4-55 B leveraged buyout of Electronic Arts (EA) by a consortium led by PIF, Affinity Partners, and Silver Lake is particularly significant—both for its size (potentially the largest LBO in history) and for setting a tone of confidence among global and sovereign capital. The spectrum acquisition by Space Exploration Technologies via EchoStar ($17 B) illustrates continued demand for comms infrastructure assets. Meanwhile, deals like KKR/CPP’s $10 B acquisition of a majority stake in Sempra Infrastructure highlight investor interest in energy transition and utility infrastructure portfolios.
Strategic implications for banks, private equity, and corporate acquirers include increased competition for high-quality assets, premium pricing especially in “winner-take-all” sectors, and pressure to move quickly amid rising valuations. Moreover, sectors with declining activity may face more distress opportunities or consolidation pressure. Regulatory surveillance—antitrust, foreign investment review—remains likely to grow, especially around large tech, infrastructure, or utilities transactions involving sovereign or foreign buyers.
Open questions: Will financing costs (debt markets) allow mega-LBOs to close as expected? How will regulatory bodies respond to deals with national security or competition implications? Can buyers in declining sectors pivot or restructure business models to stay attractive? To what extent will U.S. deal activity sustain momentum into 2026, especially if macroeconomic or geopolitical risks re-intensify?
Supporting Notes
- 1,146 U.S. M&A deal announcements in September 2025, vs. 1,031 in August (an increase of 11.2 %).
- Deal spending aggregated in September was 41.8 % higher than in August 2025.
- Seven of 21 sectors tracked saw year-over-year increase in three-month rolling deal volumes: Technology Services (803 vs. 702), Non‐Energy Minerals (102 vs. 54), Commercial Services (430 vs. 389), Consumer Services (229 vs. 216), Process Industries (84 vs. 77).
- Sectors with biggest declines year-over-year: Finance (529 vs. 702), Producer Manufacturing (157 vs. 223), Distribution Services (105 vs. 169), Health Services (94 vs. 124), Transportation (65 vs. 85).
- Major deal: EA agreed to be acquired by consortium led by Public Investment Fund, Affinity Partners, and Silver Lake for $52.4-55 B.
- SpaceX to acquire AWS-4 and H-block spectrum licenses from EchoStar for ~$17 B.
- CapVest Partners to acquire majority stake in STADA Arzneimittel for ~$11.7 B.
- KKR & CPP to acquire 45 % majority stake in Sempra Infrastructure Partners for $10 B.
- Pfizer to acquire Metsera for $4.9 B with possible milestone payments pushing toward $7.2 B; adds multiple obesity/cardiometabolic pipeline assets.