Jul 9

2026

Mid-year M&A outlook 2026: why technology and megadeals are driving Irish dealmaking

Irish dealmaking has made a steadier start to 2026 than many larger markets. Davy’s first-quarter data recorded 126 Irish M&A deals in Q1 2026, up from 111 in Q1 2025 and 117 in Q4 2025. Disclosed value was about €1.43bn, roughly double the same period last year. That sits against a global market where values are being lifted by larger transactions, while deal counts remain under pressure.

For business owners, the message is not that every company will attract a premium bid. It is that prepared, well-documented businesses in active sectors still have options. If you are weighing a sale or acquisition, understanding the role a chartered accountant plays in an M&A deal is a useful first step.

The global picture: bigger, not busier

The headline from the global market is scale. PwC’s mid-year deals analysis says global deal value is on track to reach around $4tn in 2026, the strongest year since 2021. Megadeals above $5bn now account for nearly half of total deal value.

That does not mean the market is universally busy. PwC describes a K-shaped deals market, where values are rising but volumes are falling. AI, power demand, data centres and digital infrastructure are attracting capital, while other sectors remain more cautious. The important point is that a handful of very large deals can carry the total, so owners should not read global value figures as proof that all valuations are rising.

Ireland outperforms, but stays mid-market

Ireland has followed its own path. The Davy first-quarter review shows an increase in Irish deal volume while global deal volume fell by about 12% year on year in Q1. Disclosed value also improved, although part of that movement reflects how many transactions disclosed a price.

The honest reading is that Ireland remains a mid-market M&A economy, supported by international buyers, strong technology assets and cross-border activity rather than a constant stream of domestic megadeals. Our article on Ireland’s rising tax receipts and what cross-border businesses should watch sets out the wider economic backdrop.

Where the deals are, and who is buying

KPMG’s M&A Outlook 2026 found that dealmakers expect technology to be the most active Irish sector this year, followed by healthcare and pharmaceuticals at 16% and energy and infrastructure at 13%. Financing conditions are no longer the obstacle they were in the immediate post-rate-rise period, but buyers remain selective.

Cross-border buyers still matter. US and UK acquirers continue to look at Irish assets, particularly where businesses have defensible technology, recurring revenues, regulated expertise or access to EU markets. If your business sits on both sides of the border, our cross-border accounting and tax team can help you plan a transaction that works under 2 tax systems, as it did on a recent completed acquisition for Atlas World.

What it means if you are thinking about a deal

Buyers are selective and diligence is deeper. Weak records, unclear margins, unclaimed reliefs, related-party balances and unresolved tax points can delay a process or reduce value. Early due diligence gives you time to fix those issues before a buyer finds them.

Tax treatment on exit also differs by jurisdiction. UK Business Asset Disposal Relief is now 18% for qualifying disposals made from 6 April 2026. Ireland’s Revised Entrepreneur Relief can apply a 10% CGT rate to qualifying gains, with the lifetime limit increased to €1.5m for gains arising on or after 1 January 2026. That makes understanding your position across both systems important before you agree heads of terms.

ESG is also part of the screen, shaped partly by changing EU sustainability rules. Our guide to ESG and SME deal readiness explains where it can affect smaller businesses.

Where a deal is driven by pressure rather than growth, an accelerated M&A or restructuring route may be more suitable. Our SME business solutions team can help get your numbers deal-ready first.

Get your position ready before you go looking

The market rewards businesses that prepare before they start a process. If you are considering a sale, acquisition or investment over the next year, speak to SCC Chartered Accountants and build your position while the deal pipeline is open.