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How We See The Midmarket M&A in the U.S. in 2026: Resilience, Shifts, and Selective Opportunities
by Gundo Kahle, CEO
CBA Cross Borders Associates
In 2025, the merger and acquisition landscape in the United States has reflected both enduring strength and structural evolution — particularly within the midmarket segment of privately-owned companies.
Defined broadly as companies with enterprise values roughly between $10 million and $1 billion (with some variation depending on source and industry), this segment sits at the nexus of entrepreneurial legacy businesses and institutional dealmaking. Recent trends underscore a market adapting to economic volatility, interest-rate shifts, demographic forces, and strategic buyers’ evolving priorities.
Midmarket deal activity: A tale of two markets
Overall M&A activity in the U.S. surged in 2025, with total global deal value reaching approximately $4.4 trillion, and U.S. deals totalling roughly $2.2 trillion — a significant year-over-year increase in value, though deal volume was down slightly.
However, data and industry reviews suggest that midmarket dealmaking has been more uneven than headline totals might imply. Some reports show weaker midmarket transaction counts and volume — particularly in the upper end of the midmarket — as buyers and sellers contend with policy uncertainty and valuation gaps.
At the same time, other analyses portray resilience or even upticks in middle-market deal volumes compared with previous years, driven by strategic acquisitions of cash-flow-oriented businesses and “bolt-on” transactions to strengthen existing platforms.
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