The Asia-Pacific (APAC) region recorded a slight increase in overall deal activity during the first eight months of 2025, according to data from GlobalData.
The region’s total deal volume, which includes mergers and acquisitions (M&A), private equity, and venture financing, rose by approximately 1% compared to the same period last year. This modest growth stands out against a global backdrop of declining deal activity.
Aurojyoti Bose, lead analyst at GlobalData, said the APAC region was unique in maintaining positive momentum.
“The growth, although modest, holds significance as it contrasts with the global trend wherein overall deal volume declined. In fact, APAC was the only region to buck that trend while all other regions suffered declines,” Bose said.
M&A transactions were the primary driver of growth in APAC, with the number of deals rising by about 5% year-over-year.
In contrast, venture financing deals fell by 3%, and private equity activity experienced a sharper 15% decline.
The data suggests that while some segments of the market contracted, M&A activity provided a counterbalance.
“Market dynamics were heterogeneous, pointing to varied performance across the region. The APAC deal landscape is demonstrating selective resilience, with some markets signalling renewed dealmaking while others experiencing decline,” Bose said.
Performance varied significantly across APAC countries. China and India saw deal volumes increase by 5% and 6%, respectively. Japan posted a 16% year-over-year increase in deal activity.
However, Australia, South Korea, and Singapore all reported declines, with deal volumes down by 6%, 22%, and 12%, respectively.
Bose noted that the region’s deal activity reflects a market in transition, with M&A and growth in larger economies offsetting declines elsewhere.
In the insurance sector, global M&A activity involving carriers declined in the first half of 2025, reaching its lowest point since the 2008 financial crisis, according to Clyde & Co.
The law firm reported 95 completed transactions in the first half of the year, compared to 106 in the same period of 2024 and a 10-year average of 192.
Clyde & Co attributed the slowdown to ongoing geopolitical risks, inflation, and macroeconomic uncertainty.
The firm observed that high valuations and limited appetite for major transactions led insurers to focus on smaller acquisitions, share buybacks, and internal capital deployment.
While some notable transactions occurred – such as Sentry Insurance’s acquisition of The General and Markel’s purchase of marine MGA MECO – cross-border activity was limited.
Most insurers prioritised domestic consolidation, with several small-scale mergers in Bermuda cited as examples.
Despite the overall decline in carrier-led M&A, investment in MGAs remained steady.
Clyde & Co noted continued capital flows into MGA platforms in North America, Europe, and the Middle East.
Insurers and investors favoured MGAs for their lower capital requirements and underwriting flexibility.
The US-led global insurance M&A activity with 69 deals in 2025, followed by the UK and continental Europe with 56, APAC with 39, and EMEA (including the Middle East) with 17.
North America recorded the highest regional activity, while Latin America saw minimal deal flow.
In Japan and other parts of Asia, share buybacks became more common as carriers responded to lower equity prices.
The UK and continental Europe saw more intermediary and broking transactions than carrier-led deals.
In the Middle East, life insurance transactions increased as international firms sought access to health and protection markets.
