PE buyout value by sector in EMEA (US$ million), Q1-Q3 2025 vs. Q1-Q3 2024
PMB ranks as the second largest sector by value and has posted a significant increase year-on-year, climbing from US$10.9 billion in Q1-Q3 2024 to US$45.1 billion over the same period in 2025. PMB deal value was boosted by a standout funding round in which ARCHIMED joined longstanding shareholders in animal healthcare group Ceva Santé Animale that valued the business at more than €9 billion (US$10.5 billion). The sector has also delivered a series of exits for sponsors, including the IPOs of Swedish medical services business Asker Healthcare Group by Nalka Invest and Polish laboratory operator Diagnostyka by MidEuropa Partners. The industrials and chemicals sector has been another strong area for buyout deal flow, ranking as the third largest sector by value. Deal value for the first three quarters of 2025 (YTD) came in at US$40.4 billion, almost double the US$18.5 billion recorded for the corresponding period in 2024. KKR’s £4.8 billion (US$6.4 billion) take-private of UK-listed precision instrumentation provider Spectris was one of the deal highlights in the sector. European industrial companies have been indirect beneficiaries of the AI boom, producing a series of essential components required for the construction of data centers. European industrial companies supplying the data center industry have seen their market capitalizations climb by more than €150 billion (US$175 billion) since the launch of ChatGPT in 2022, according to the FT. The Spectris deal is also an example of a series of European take-privates backed by financial sponsors, who have seen an opportunity to acquire listed European companies, which often trade at a discount to their U.S. peers, at attractive entry multiples. Outlook Looking ahead to 2026, EMEA sponsors will be working to build on the increase in deal value observed so far in 2025 and sustain a gradual recovery in deployment and exits. The conflicts in Ukraine and the Middle East, as well as a reframed relationship between with Europe and the U.S., present ongoing headwinds, but surging investment in AI, lower interest rates and more clarity on future U.S. trading arrangements will encourage dealmaking. EMEA M&A could also receive a boost as some investors consider diversifying their U.S. portfolios and building more exposure to European markets. “Sponsors and management teams are preparing businesses for sale. There has been a feeling for a few years that the M&A window will reopen, only for another degree of uncertainty to put deals on hold. I feel like the market is moving through that and finding ways to get deals done,” Tomlinson says.
TMT
ș62,955
ș74,518
PhǸrmǸ, MȃdicǸl & Biotȃch
ș45,084
ș10,895
IndustriǸls & ChȃmicǸls
ș40,423
ș18,469
Businȃss Sȃrvicȃs
ș28,679
ș20,683
FinǸnciǸl Sȃrvicȃs
ș22,486 ș23,274
EnȃrȌy, MininȌ & Utilitiȃs
ș17,678 ș17,580
Consumȃr
ș12,122
ș20,041
RȃǸl EstǸtȃ
ș8,086 ș7,385
Lȃisurȃ
ș7,902
ș4,712
TrǸnsportǸtion
ș4,040
ș6,928
Construction
ș2,880
ș9,075
Dȃfȃnsȃ
ș731 ș171
Govȃrnmȃnt
Othȃr ș259 ș20 ș338 ș11
AȌriculturȃ
ș37
ș650
Q1-Q3 2025 Q1-Q3 2024
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