Bain & Company's M&A Report 2024 explores trends across 14 industries and 4 regions, among them:

Technology. These are not the best of times for tech dealmakers. Overall, tech deal volume dropped 26% in the first 10 months of 2023, and value was down by 59%, more than almost any other major industry. Despite this, deals were still getting done—more than 4,100 during the first nine months of the year, with 31 valued in excess of $1 billion. Looking ahead, Bain's research shows the valuation gap between what tech sellers need and what buyers are willing to pay may be narrowing: 42% of tech industry practitioners saw an easing of the valuation gap as key to unlocking deal flow, and roughly 40% expect the gap will decrease next year.
Health care and Life Sciences. Despite turbulence, 2023 demonstrated that the health care and life sciences industry can't keep M&A on the back burner for long. Bain anticipates this trend to continue. The industry is sitting on high levels of cash—$171 billion across pharma companies, and 80% of health care executives predict they will do as many, if not more, deals in 2024 than they did in 2023.
Energy and Natural Resources. After three years of steady growth, the volume of energy transition deals plateaued in the first nine months of 2023. Energy and natural resources companies are balancing deals between reinforcing the core businesses and promoting a low-carbon agenda. To strike the right balance, the best companies will take a more targeted approach to their energy transition acquisitions.
Aerospace and Defense. In 2023, the space industry saw a string of multibillion-dollar deals announced in prior years officially close. Looking forward to 2024, we see the space industry entering a new era triggered by a higher interest rate environment, and defined by reduced costs for space access and the emergence of space as a fully contested geopolitical arena. Bain believes portfolio reshaping and lower valuations will spur M&A activity.

View Bain & Company's sixth annual Global M&A Report here.

Bain Report: 2023 M&A Market Dropped, Deal Backlog Could Fuel 2024 Growth

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