Aerospace, Defense & Space
Q4 2025
Aerospace, Defense & Space M&A Market Update, Q4 2025
The aerospace, defense, and space sector experienced robust M&A activity in 2025, with transaction volumes accelerating in the second half of the year amid improving macro visibility and strong sector fundamentals. Rebounding commercial aerospace demand, elevated global defense budgets, and rapid expansion of satellite and space infrastructure are creating a favorable environment for dealmaking. Premium valuations remain achievable for scaled, diversified assets, particularly in engineered components, aftermarket services, and defense and space electronics. Meridian expects sustained transaction momentum as both strategic buyers and financial sponsors seek to capitalize on these durable growth drivers.
Trends Driving M&A for Aerospace, Defense & Space
Report Summary
The aerospace, defense, and space sector experienced robust M&A activity in 2025, with transaction volumes accelerating in the second half of the year amid improving macro visibility and strong sector fundamentals. Rebounding commercial aerospace demand, elevated global defense budgets, and rapid expansion of satellite and space infrastructure are creating a favorable environment for dealmaking. Premium valuations remain achievable for scaled, diversified assets, particularly in engineered components, aftermarket services, and defense and space electronics. Meridian expects sustained transaction momentum as both strategic buyers and financial sponsors seek to capitalize on these durable growth drivers.
Aerospace, Defense & Space M&A TRENDS
Key Highlights
- Meridian’s Aerospace, Defense & Space Practice
- M&A Market Update
- Valuation Trends
