Asia-Pacific (APAC) deal activity experienced a 5% year-on-year decline during the first three quarters of 2026, according to GlobalData. This downturn aligns with global trends, as cautious dealmakers focus on high-growth opportunities. GlobalData’s Financial Deals Database highlights a 13% drop in mergers and acquisitions (M&A) announcements, despite a 6% growth in venture financing.
The analysis reveals that M&A accounted for over half of the region’s total transaction volume, with its decline significantly impacting overall deal activity. Private equity also saw a 6% decrease in deal volume. Aurojyoti Bose, Lead Analyst at GlobalData, noted, “The divergence between M&A and venture financing and decline in private equity activity suggest that investors remain willing to support businesses with scalable growth prospects, although broader corporate dealmaking remains constrained.”
China emerged as a key growth market, recording a 13% increase in deal activity, whilst India saw a 4% rise. However, these gains were insufficient to offset declines in other APAC markets. Japan experienced a 29% drop, Australia 15%, and Singapore 12%. South Korea and Hong Kong saw modest declines of 2% each, whilst Malaysia and New Zealand recorded decreases of 6% and 9%, respectively.
Bose concluded that whilst China and India provided some support, widespread weakness across major and emerging markets kept regional performance negative. A sustained recovery will depend on improved confidence among strategic buyers, private equity firms, and investors.
