Everyone loves a good top 10 list, and in the world of Mergers & Acquisitions, 2026 is providing no shortage of drama. Following a 2025 that saw a significant widening between the "haves" and "have-nots," dealmakers are entering the new year with a blend of cautious optimism and strategic grit.

Here are the top 10 questions and issues pundits believe will define M&A in 2026:

1. Tech Transformation & The AI Valuation Trap

AI remains key driver across many sectors of the economy.The challenge now lies in valuation: How do you price a technology that provides a massive competitive moat but hasn't yet translated into definable cash flow?

2. The Great PE Divide

The gap between "Mega-PE" and smaller shops is widening. Larger firms have the "holding power" to wait out market dips, but smaller players are under pressure. Could 2026 be the year of the PE merger?

3. The Rise of Private Credit

Commercial lending isn't what it used to be. As banks pivot toward wealth management, nimble private credit funds are stepping in. For many, the flexibility of private credit is the "new normal." It will be interesting to see if this trend continues, even if some still crave the stability of traditional banks.

4. The "Long-Awaited" Silver Tsunami

We’ve heard about Baby Boomer retirements for decades. Every year we expect a flood of business transitions, and every year, even in a strong M&A year, it doesn’t totally come to fruition. Will 2026 finally be the year owners choose liquidity over continued growth?

5. Politics & The "New" Fed

With mid-term elections on the horizon and a new Fed Chair likely taking the helm, interest rates are the true wild card. Predictions of "easing" are everywhere, but in an election year, expect the unexpected.

6. Closing the Valuation Disconnect

The gap between what sellers want and what buyers will pay is finally narrowing. As pressure to deploy capital (and exit aging positions) intensifies, the "valuation gap" is shrinking, allowing deals to finally cross the finish line.

7. Dry Powder & Domestic Focus

Despite a tricky exit environment, the US is flush with "dry powder." With international markets like Europe and Asia facing volatility, the allocation of capital remains heavily skewed toward domestic investment, supported by a favorable regulatory framework.

8. Redefining Infrastructure

Infrastructure is no longer just "roads and bridges." The massive investment in data centers and the energy required to power AI is fueling a surge in M&A. If it powers or supports the digital economy, it’s the new infrastructure.

9. A Resilient Job Market

Contrary to the "doom and gloom" often found in headlines, the statistical job market remains strong. This stability provides the bedrock for economic activity and the consumer confidence needed to support mid-market deals.

10. Navigating the Headwinds

It’s not all clear skies. Climate change, rising healthcare costs, and global conflicts remain significant indirect threats. Strategic dealmakers are now baking these "macro risks" into their due diligence more than ever before.

The foregoing is intended to be marketing material. Information is contained in this article is for general education and knowledge. It is not designed to be and should not be substituted for legal advice. This information is not intended to create an attorney-client relationship.