US M&A activity insights: March 2026

Source: EY Insights analysis and Dealogic

On a monthly (month-over-month) basis, US M&A activity showed deal value rising by 5% in March and volume growing by 2%. 

US sector breakdown for top deals (US$100m+) — March 2026

Sectors that fueled this month’s deal activity

Sector highlights

M&A activity in March witnessed a significant upside in deal value across sectors:

Technology

M&A strengthened in March, with deal values up 31% YoY and volumes rising 7%. Capital continued to concentrate around AI infrastructure, compute scaling and facilitating layers, as buyers prioritized investing in assets across cloud, networking, photonics and advanced computing architectures. Strategic investors focused on expanding control over critical supply chains, securing long-term capacity and deepening ecosystems across hardware, software and infrastructure.

Consumer products and retail (CPR)

Dealmaking accelerated sharply, with deal value surging 181% YoY and volumes up 33%. Buyers prioritized category leadership, portfolio focus and channel expansion to reshape growth profiles and sharpen brand portfolios. Large-scale transactions focused on value growth, while private equity (PE) remained active in brand-led, cash-generative assets with franchising or consolidation potential.

Power and utilities

The sector witnessed a sharp surge in dealmaking activity, with deal value up 1,269% YoY and volumes rising 233%, primarily driven by a single large transaction (US$38b). Transactions show acquirers prioritizing dispatchable power, grid-critical infrastructure and scalable baseload assets amid accelerating electricity demand from data centers and AI workloads.

Life sciences

M&A momentum in the sector gained pace, with deal values up 161% YoY and volumes rising 44%. Activity trended toward targeted bolt-ons and platform acquisitions. Strategic buyers focused on late-stage oncology, immunology, rare disease and neuroscience assets, using M&A to offset looming patent expirations and research and development (R&D) risk.

Insurance

Deals reflected a sharp shift toward larger, strategic transactions, with deal value rising 98% YoY despite volumes declining 50%. The divergence underscores a market increasingly dominated by scale-driven combinations and capital-intensive deals, as insurers prioritized distribution depth, balance sheet efficiency and specialty risk exposure.

Looking ahead

The US M&A landscape is poised for resilient activity, underpinned by healthy corporate balance sheets, abundant capital reserves exceeding US$1tn in PE dry powder and a more accommodating regulatory environment for complex transactions. This capital availability is expected to fuel deals, corporate carve-outs and platform-building initiatives, reflecting a strategic focus rather than a purely cyclical rebound in volumes.

In this complex macroeconomic environment, experienced acquirers are adapting deal structures and timelines to navigate elevated volatility and financing constraints, while maintaining a focus on transactions with clear strategic value. Execution discipline and early integration planning will remain critical as dealmakers balance macro uncertainty with sector-specific opportunities.

Karan Chowdhary, Assistant Director and Sagar Garg, Associate Manager, from Ernst & Young LLP (India) contributed to this article.