US M&A activity insights: November 2025

Source: EY Insights analysis and Dealogic

US sector breakdown for top deals (US$100m+) – November 2025

Sectors that fueled this month’s deal activity

Sector highlights

M&A activity in November reveals a number of high-value transactions across sectors:

Technology

Technology deals above US$100m amounted to about US$63b across 39 transactions, centered on AI platforms, developer tools, cybersecurity and digital infrastructure assets. Private equity (PE) investment appetite remained strong and strategic buyers doubled down on AI-native capabilities, cloud-scaled architectures and data-centric software. Key drivers included accelerating enterprise demand for automation, tightening security requirements and continued consolidation in high-growth AI and analytics segments.

Consumer products and retail

Consumer products and retail M&A reflected moderate deal activity but a sharp spike in total deal value (up by over 900% YoY) due to one large acquisition valued at US$51.4b. Strategic buyers focused on consolidating core brands, expanding category adjacencies and strengthening premium personal care and beverage portfolios while financial sponsors remained active in carve-outs and emerging lifestyle brands.

Oil, gas and chemicals

The sector registered steady deal value while deal volume experienced a decline of 6.3% YoY. M&A activity was dominated by strategic buyers and infrastructure investors consolidating shale positions, securing advantaged midstream capacity and reshaping portfolios toward high-margin basins. Private capital remained active in midstream carve-outs, underscoring sustained confidence in long-term cash-flow visibility across North American energy infrastructure.

Healthcare

A large M&A deal valued at US$25.7b led to a 150% YoY jump in deal value in the healthcare sector. Deal activity was tilted toward diagnostic platforms, imaging software and care delivery assets. Investor interest remained robust in tech-enabled wellness and data-centric health models. Key drivers included the push for integrated diagnostics, rising demand for scalable imaging solutions and continued consolidation in nursing and long-term care as providers seek operational resilience and stable cash-flow visibility.

Life sciences

Life sciences deal value decreased by about 15% YoY and total deal volume declined by about 45%. Most transactions reflected targeted pipeline expansion in oncology, infectious disease and cell therapy. Investor participation in neurotechnology and surgical innovation indicated sustained capital rotation into differentiated, IP-rich platforms.

PE holds ground with higher deal value despite volume decline

PE activity reflected a mixed trend. PE’s share of overall US deal volume edged up marginally to 28.5%, marking a 1% month-over-month (MoM) increase, while its share of deal value dropped sharply from 40.7% to 23.2%, signalling cautious capital deployment. Despite a MoM drop in high value deals (i.e., deals valued over $1B+), PE sponsors remained active in strategic sectors such as healthcare, technology, energy and select industrial assets. The focus leaned toward platform investments and sectoral diversification, including balancing large-scale healthcare plays, selective bets in industrial products and upstream and midstream energy assets.

Expanding market presence through scale-building acquisitions

Dealmaking highlighted how companies are strengthening their position in core markets by acquiring closely aligned businesses. This approach allows firms to broaden their customer reach, reinforce distribution channels and gain operational efficiencies that come from larger scale.

Beyond efficiency, expanding within the same market segment supports long-term strategic positioning. Larger platforms can invest more confidently in innovation, withstand market volatility and negotiate from a position of strength. As markets mature and organic growth moderates, scale-building acquisitions offer a faster route to enhance competitiveness, accelerate revenue synergies and safeguard leadership positions.

Looking ahead

The US M&A market is positioned for a robust expansion into 2026, transitioning from a period of recovery to one of resilient growth. Dealmakers anticipate a healthy deal pipeline across sectors including technology, healthcare, industrials and financials. This positive trajectory is underpinned by a stabilizing macroeconomic environment, anticipated interest rate cuts and the strategic imperative for corporations to integrate AI capabilities.

This comes as EY-Parthenon economists expect US GDP to increase 1.9% in 2026 after a 2.0% expected increase in 2025 — constrained by tariffs and tighter immigration but supported by ongoing AI investment, a modest fiscal impulse in early 2026 and some deregulatory momentum.

On December 10, the Federal Reserve cut rates by 25 basis points, its third reduction in 2025. Projections suggest one more cut in 2026, indicating a cautious approach amid economic strain. However, divisions within the committee reveal uncertainty about future rate movements.

The resolution of the US government shutdown on November 12 removed a significant layer of macroeconomic uncertainty. However, the temporary funding resolution through January 30, 2026 offers only short-term stability, leaving significant uncertainty for the year ahead around regulatory delays and economic data gaps that might complicate due diligence.

Companies that prioritize acquiring AI-driven capabilities and talent they cannot build internally, while achieving integration readiness, robust diligence and agile portfolio reshaping, will likely be well positioned to capture emerging opportunities.