Australia’s public M&A market remained resilient in 2025, navigating global economic headwinds and geopolitical tensions with strategic adaptability, according to Corrs Chambers Westgarth’s M&A 2026 Outlook.
Following a cautious start to the year, public deal activity rebounded across key sectors including resources, technology and financial services. Gold and critical minerals stood out, with local regulatory and economic conditions continuing to shape deal opportunities.
Looking ahead, 2026 is expected to bring a wave of strategic consolidation, with energy and resources continuing to drive momentum and dealmakers focusing on technology integration, supply chain resilience and defence-linked opportunities amid shifting policy and international developments.
Corrs’ analysis draws on data from the firm’s proprietary transaction database, combined with in-depth research for the 12-month period ending 30 September 2025.
Commenting on the report Corrs’ Head of Corporate, Sandy Mak, said: “Despite the shaky start to the year, global M&A rebounded in the latter half of 2025, reflecting the adaptability of dealmakers and an acceptance of the geopolitical landscape. Australia mirrored this trend, with strategic acquisitions continuing across core sectors.
“'Resilient yet cautious’ best describes our outlook for 2026. While strategic opportunities remain, regulatory, policy and geopolitical factors will influence deal success and structure.”
Sandy noted that M&A is expected to increasingly focus on strengthening supply chains in response to trade frictions and geopolitical shifts.
“Defence and defence-adjacent technologies will likely see heightened activity in 2026, driven by rising geopolitical tensions, increased government investment and the transition of AUKUS from policy to industrial implementation.”
The report forecasts strong interest in technology-driven companies - particularly in fintech, AI and digital health - as firms seek greater efficiency and competitiveness. Shareholder activism is also expected to play a more prominent role in deal dynamics. Resources M&A will remain a key driver, with foreign direct investment - especially from the US - anticipated to rise.
Corrs partner, Adam Foreman, had the following advice for dealmakers: “In today’s M&A environment, we see deals falling into one of two categories. Half of the deals proceed quickly, smoothly and without incident. The other half take much longer to finalise, face more obstacles and raise complex issues for both target and bidder. The difference in many cases is strategy. Pre-bid support, being clear about your intentions and remembering to manage your own stakeholders are critical for bidders. Targets need to focus on setting clear boundaries to manage bidders and better anticipating regulatory and legal risks, which are increasingly relevant.”