Sponsor-Led Deals and Cross-Border Activity Driving M&A in 2025

Key Trends Shaping M&A Activity in 2025

In this short video, Francesco Fornarelli of Vitale - IMAP Italy talks to Claire Smedley from IMAP HQ and shares timely insights into what’s driving global M&A activity this year, highlighting the continued dominance of financial sponsors, the growing role of cross-border deals, and the opportunities emerging from technological transformation.

Sponsor Activity Is Leading the Charge

Private equity and financial sponsors continue to be the most active players in 2025, now representing two-thirds of Vitale’s overall deal volume.
According to Francesco, several factors are contributing to this momentum:

• Abundant dry powder and strong deal appetite
• Increased support from both traditional banks and private debt providers
• Continued sector consolidation across key verticals

Cross-Border M&A on the Rise

Global businesses are actively seeking new revenue streams abroad, making cross-border acquisitions a strategic priority. This is helping fuel deal flow despite lingering geopolitical uncertainty, particularly in Europe.

Technology and AI Are Reshaping the Landscape

The AI revolution is already beginning to reshape how companies operate—and M&A will play a central role in accelerating adoption. Francesco notes that the companies who adapt and leverage emerging technologies will ultimately be the ones that gain a competitive edge.

Is Now Still a Good Time to Sell?

Despite macroeconomic uncertainty, Francesco believes this is still a favorable time for business owners to consider a sale:

“Prices are still high, investor appetite is strong, and much of M&A is driven by expectations.”

He adds that businesses must prepare to adapt their models to the changing environment, but strong buyer interest remains.

🎥 Watch the full video HERE