in our opinion the dynamism in middle market mergers and acquisitions, which gained strength during 2024, continued in 2025 with the closing of 52 transactions globally.

Improving economic conditions, lower interest rates, and renewed market confidence created a favorable environment in the first quarter. In addition, the middle market segment continues to show resilience and strategic importance in an ever–changing economic landscape.

Cross–border activity remained strong, accounting for nearly half of transactions in the first quarter.

From a sectoral perspective, services and industry were the most active segments, reflecting the continued investor interest in these key industries.

Looking ahead, we remain optimistic about the continued flow of deals, as market fundamentals drive mergers and acquisitions. Despite growing uncertainty around U.S. economic and trade policy, companies founded by entrepreneurs are entering the market as entrepreneurs seek succession planning and manage generational transitions. At the same time, private equity companies are facing increasing pressure to divest from companies, further increasing the supply of deals. In terms of demand, both financial and strategic investors have liquidity. This liquidity, coupled with a selective investment approach, continues to drive strong competition for high–quality assets.