UK business deals in 2025: Signs of a comeback despite global challenges
20 Jun 2025
Published in: Member News
MHA Corporate Finance Partner, Rob Dando explores; UK business deals in 2025: Signs of a comeback despite global challenges.
MHA Corporate Finance Partner, Rob Dando explores; UK business deals in 2025: Signs of a comeback despite global challenges.
During the first half of 2025, similar themes have been at play. We have witnessed falling interest rates in many markets, because of falling inflation. However, ours and many others, prediction that the Trump administration would drive a stronger USD, has not occurred, in fact the opposite. We have witnessed the USD weaken in the first half of 2025, because of US tariffs and the knock-on effect globally. In January 2025, one US dollar converted to approximately 82p. In the second week of May, this had fallen to 75p, a decrease of 8.5%, or in other words, UK assets are in theory 8.5% more expense now, compared to five months ago, for US investors, unless the rate had been hedged.
Outlook for UK mid-market M&A in 2025
We have seen the UK domestic mid-market M&A landscape gaining traction in 2025, following a period of economic uncertainty. With both strategic buyers and private equity firms returning to the fold, the landscape is shifting toward renewed deal activity.
MHA Partner and Head of Transaction Services Rob Dando says, "Despite the weakening US dollar, the UK remains a magnet for international investors, including the Middle East, Asia Pacific, Europe and North America. The narrowing gap between buyer and seller expectations has further accelerated cross-border transactions."
"While optimism surrounds mid-market M&A, dealmakers face hurdles such as intensified due diligence, regulatory shifts, and evolving ESG requirements. Sellers must be proactive in addressing these complexities to streamline transactions."
The outlook for cross-border M&A in the UK in 2025
As we move further into 2025, the UK’s cross-border M&A landscape is showing signs of resilience despite ongoing economic and geopolitical uncertainties. Dealmakers remain optimistic, with the UK ranked as the second most attractive market for cross-border transactions.
Comments
Post A Comment
You must be logged in to post a comment. Please click here to login.
Our Patrons
