iscoverMerger and acquisition volumes in the middle market across the Asia-Pacific region have seen a slight uptick of 3.9 per cent in FY25, according to research from a chartered accounting body.
APAC mid-market M&A deals see uplift, data shows
12 August 2025
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8 minute read
A recent report released by Moore Australia has revealed that the 2025 financial year brought a 3.9 per cent increase in mid-market merger and acquisition volumes in the Asia-Pacific (APAC) region, for a total of 10,074 transactions.
The FY25 APAC Mid-Market M&A Report analysed M&As and related transactions under $300 million across APAC and also found a 12.3 per cent increase in median deal size, jumping from $22.3 million to $25.0 million.
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Jarron Puszet, Moore Australia chair of corporate finance committee, said despite widespread macroeconomic uncertainty, the report's findings point to continued strategic deal-making as buyers showed increased interest in scalable business models, recurring revenues and sector-specific synergies.
“We’re seeing capital deployed selectively and with sector precision. Buyers are focusing on assets with synergies and scalability for long-term value creation, particularly in the logistics and software sectors which have seen valuation uplifts,” he said.
It was found that IT accounted for 23 per cent of total deal value, as 80 per cent of IT transactions involved software companies and transportation deals saw the most significant uplift in valuations with multiples doubling from 5.7x to 11.4x.
Leisure sector multiples fell from 13.6x to 6.7x, which Puszet said was a sign that investor caution had increased in discretionary industries.
It was also noted that private equity and venture capital firms remained active in technology-led M&A and comprised 40.1 per cent of IT sector acquirers.
Domestic transactions accounted for nearly 80 per cent of APAC deal volume, continuing a five-year trend of national consolidation, Puszet said.
“China and Japan together contributed 63 per cent of total mid-market deals, with 88 per cent of Chinese and 95 per cent of Japanese transactions involving local counterparties,” he said.
“Australia and India were the top destinations for inbound cross-border deals. Australia recorded 467 foreign-led acquisitions, a 4.7 per cent increase on FY24, while India attracted 428, underscoring continued international interest in the region’s most open markets.”
According to Moore Australia, additional global research from the firm supported the trends identified within the APAC report, as it surveyed mid-market businesses across 12 countries and found that 74 per cent of respondents reported improved performance year-on-year, with an overall optimism score of +35.1.
The IT sector also scored highest on the index at +44.2, showing “continued confidence” in digital business models, Puszet said.
“This corresponds with APAC deal activity in FY25, where technology companies attracted premium valuations and led the region’s M&A volume.”
“The index highlighted that technology investment remains the top strategic priority for business leaders, aligning with this report’s observations of sector-led capital deployment and private equity focus.”
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