The volume of mergers, acquisitions, private equity, and venture financing transactions across the Asia-Pacific region declined slightly in the first four months of 2025, according to research from GlobalData.
The total number of deals was down 2.6% compared to the same period last year, primarily due to reduced venture capital activity.
GlobalData’s analysis showed that venture capital investments fell by 8.2% year-over-year. In contrast, mergers and acquisitions saw a modest increase of 2.4%, and private equity deals rose by roughly 2%.
Aurojyoti Bose, lead analyst at GlobalData, noted that the region’s transaction landscape is showing a mixed pattern.
“The APAC deal landscape is showcasing a mixed trend characterised by a blend of resilience in M&A and private equity, juxtaposed with a fall in VC funding activity. This mixed trend reflects the intricate economic dynamics at play across the region, with varying performances across key markets,” he said.
China experienced a significant drop in deal-making, with volumes falling more than 15% compared to early 2024.
Meanwhile, India and Japan saw increased activity, reporting year-over-year growth rates of 13% and 25%, respectively.
Other markets – including Australia, South Korea, and Singapore – showed declines in activity, indicating uneven investment momentum across the region.
GlobalData cautioned that historical figures may be updated if new transactions are disclosed after initial reporting periods.
In the broader global market, acquiring companies outperformed relevant stock market indices by 1.5 percentage points in the first quarter of 2025, based on findings from WTW’s Quarterly Deal Performance Monitor (QDPM).
This marks the first positive performance since the end of 2022. The QDPM evaluates post-deal share price movements of transactions exceeding US$100 million.
The analysis, conducted in collaboration with Bayes Business School, highlighted an improvement after seven quarters of underperformance by acquirers.
The study showed that regional variations in performance were stark.
North American buyers trailed their index by 2.2 percentage points, extending a multi-quarter trend of underperformance.
In contrast, European acquirers surpassed their index by 16 percentage points despite a lower deal count.
Asia-Pacific buyers also performed above market benchmarks, with 44 deals in Q1 yielding a 5.8 percentage point lead over the regional index.
WTW’s Europe M&A leader, Jana Mercereau, commented that although early 2025 has seen stronger performance, market volatility stemming from trade policies and geopolitical developments may influence activity going forward.
