Financial Services

Financial Services was again the leading sector by aggregate deal value in 2025, with 15 firm offers totaling £12.3bn, representing 30% of aggregate deal value across all sectors. These included:

• the £3.4bn offer for Petershill Partners plc by Goldman Sachs Asset Management L.P.
• the £2.4bn offer for Just Group plc by Brookfield Wealth Solutions Ltd.
• the £2.3bn offer for JTC plc by Permira Advisers LLP
• the £1.8bn offer for Alpha Group International plc by Corpay, Inc.

While aggregate value was slightly lower than in 2024 (£15.3bn), deal volume increased, indicating a shift toward mid-market transactions rather than the mega-deals that dominated 2024.

Goldman Sachs Asset Management announced an all-cash offer for Petershill Partners plc in September 2025, valuing the UK-listed alternative asset manager at £3.4bn. The transaction highlights the continued interest of U.S. financial giants in London-listed firms despite concerns about low valuations on the LSE. Structured as a scheme of arrangement, which became effective on 4 December 2025, and funded through debt and existing cash resources, the deal underscores Goldman Sachs’ strategy to deepen its exposure to alternative investments. The acquisition is expected to strengthen Goldman’s position in private equity and hedge fund partnerships, signaling confidence in the long-term growth of the alternatives sector. Petershill was delisted from the LSE on 5 December 2025.

In April 2025, IFX (UK) Ltd announced a potential offer for Argentex Group plc at just £3m (to be funded entirely from existing cash resources), a staggering 94% decline from previous valuations. This sharp drop reflected severe challenges in the foreign exchange services market and raised questions about Argentex’s financial health. The proposed deal, ultimately terminated due to Argentex’s insolvency, appeared to be a strategic rescue rather than a growth acquisition. Such distressed valuations are rare for AIM-listed financial firms and could indicate broader pressures on niche FX providers amid market volatility and tightening liquidity conditions.

Harwood Private Equity LLP’s £66m offer for Frenkel Topping Group plc (Frenkel) in September 2025 stands out for its complex consideration structure, which includes cash, shares, and contingent value rights (CVRs). CVRs are uncommon in UK transactions and typically used to bridge valuation gaps or incentivise post-deal performance. The deal, financed through debt and existing cash resources, reflects Harwood’s creative approach to acquisitions in the financial services sector. This structure could set a precedent for future deals where bidders seek flexibility amid uncertain market conditions. On 12 November 2025 the scheme was approved by the Frenkel shareholders at the court meeting and the company’s general meeting.

Industrials

Industrials recorded 10 firm offers with an aggregate deal value of £9.9bn, making up 24% of aggregate deal value across all sectors. These included:

• the £4.2bn offer for Spectris plc by Kohlberg Kravis Roberts & Co. L.P.
• the £4.2bn competing offer for Spectris plc by Advent International, L.P.
• the £366m offer for Marlowe plc by Mitie Group plc
• the £281m offer for Ricardo plc by WSP Global Inc.
• the £263m offer for De La Rue plc by Atlas FRM LLC

Spectris plc became the center of a rare bidding war in June and July 2025, with two major U.S. private equity firms KKR and Advent International each tabling offers of £4.2bn. Both bids represented premiums of over 100%, signaling intense competition for high-quality UK industrial assets. The deals were structured as schemes of arrangement and funded through a mix of debt and equity subscriptions to bidco, highlighting the confidence of global PE firms in UK-listed engineering businesses. This contest underscores the attractiveness of precision instrumentation and industrial technology amid growing demand for automation and data-driven manufacturing.

Anexo Group plc received a £71m offer in July 2025 from a consortium comprising DBAY Advisors Limited and two senior executives, Alan Sellers and Samantha Moss. The inclusion of management in a bidding group is unusual and suggests a strong belief in the company’s long-term prospects. The consideration structure of loan notes or shares added another layer of complexity, diverging from the typical all-cash approach seen in most AIM transactions. This deal reflects a trend toward management-backed buyouts in niche industrial services, where insider knowledge can drive value creation.

Atlas FRM LLC announced a £263m offer for De La Rue plc in April 2025, marking a significant move by a U.S. investor into the UK’s secure printing and authentication sector. The deal was structured as a scheme of arrangement and funded through equity subscriptions and debt finance, signaling confidence in De La Rue’s ability to capitalise on global demand for secure identity and currency solutions. This acquisition is particularly notable given De La Rue’s historical importance and recent challenges in maintaining profitability amid declining banknote volumes. The scheme became effective on 2 July 2025.

Property (Real Estate)

2025 saw continued bid activity in the Real Estate sector, driven by consolidation among listed property companies and REITs. The sector recorded seven firm offers with an aggregate deal value of £6.3bn. By comparison, 2024 saw nine firm offers with an aggregate deal value of £5.5bn. The firm offers announced in 2025 included:

• the £1.8bn offer for Assura plc by Primary Health Properties plc
• the £1.7bn offer for Assura plc by a consortium comprising KKR and Stonepeak
• the £723m offer for Empiric Student Property plc by Unite Group plc
• the £699m offer for Urban Logistics REIT plc by LondonMetric Property plc
• the £489m offer for Warehouse REIT plc by Blackstone Europe LLP

Assura plc became the focus of intense acquisition interest in 2025, receiving two major offers within weeks. Primary Health Properties plc tabled a £1.8bn cash-and-shares offer in May, aiming to consolidate its position in the UK healthcare property market. Just a month earlier, a consortium led by KKR and Stonepeak proposed a £1.7bn all-cash offer, funded through equity subscriptions and debt finance. This dual-track bidding highlights the growing appeal of healthcare real estate as a defensive asset class, with both strategic and private equity buyers seeking exposure to stable, long-term income streams.

Warehouse REIT plc saw two competing offers in June 2025: Tritax Big Box REIT plc proposed a £485m cash-and-shares scheme, while Blackstone Europe LLP countered with a £489m all-cash offer. The presence of both a listed REIT and global private equity firms in the same contest underscores the strategic importance of logistics and warehousing assets amid the continued growth of e-commerce. The competing deal structures (cash-and-shares versus all-cash) reflect differing approaches to value creation and investor alignment.

Unite Group plc announced a £723m cash-and-shares offer for Empiric Student Property plc in August 2025, marking a significant consolidation in the UK student accommodation sector. The deal, structured as a scheme of arrangement and financed through debt, aims to create a dominant player in purpose-built student housing. This transaction highlights the resilience of the student property market, driven by strong demand from domestic and international students, and signals confidence in long-term rental income despite broader economic uncertainty. On 23 October 2025 the CMA announced an investigation into the merger. If the deal is cleared, it will remain subject to a court sanction hearing, which is expected in the first half of 2026.

Technology

There were seven firm offers in the Technology sector in 2025 with an aggregate deal value of £5.9bn. The largest transaction in this sector was the £2.9bn offer for Deliveroo plc by DoorDash, Inc. Other transactions included:

• the £1.8bn offer for Alphawave IP Group plc by Qualcomm Incorporated
• the £570m offer for FD Technologies plc by TA Associates Management, L.P.
• the £340m offer for Idox plc by a consortium comprising Long Path Co-Investment Fund Number 6, LP, Long Path Smaller Companies Fund, LP, Long Path Smaller Companies Master Fund, Ltd. and Long Path Opportunities Fund II, LP
• the £287m offer for TT Electronics plc by Cicor Technologies Ltd.
• the £8m offer for Trakm8 Holdings plc by Constellation Software Inc.

Technology continued to attract high bid premia (average 76%), reflecting strong competition for strategic assets in semiconductors, payments, and data analytics.

DoorDash announced a £2.9bn all-cash offer for Deliveroo plc in May 2025, marking one of the largest cross-border technology deals of the year. The transaction underscores the consolidation trend in the food delivery sector, as U.S.-based DoorDash seeks to strengthen its presence in the UK and Europe. Funded entirely from existing cash resources, the deal reflects DoorDash’s strong balance sheet and ambition to dominate global last-mile delivery. This acquisition also signals confidence in the long-term viability of the food delivery model despite ongoing profitability challenges in the sector. The acquisition was carried out by means of a court sanctioned scheme of arrangement which became effective on 2 October 2025.

Constellation Software Inc. made headlines in May 2025 with its £8m all-cash offer for Trakm8 Holdings plc, representing a staggering 280% premium. Such a high premium is rare and suggests strong strategic value in Trakm8’s telematics and data analytics capabilities. The deal, funded through existing cash resources, highlights the growing importance of connected vehicle technology and data-driven fleet management solutions. This transaction stands out as an example of how niche technology firms can command exceptional valuations when their IP aligns with global digital transformation trends. The acquisition became effective on 9 July 2025, with Trakm8 delisting from AIM on 10 July 2025.

Qualcomm’s £1.8bn offer for Alphawave IP Group plc in June 2025 reflects the U.S. semiconductor giant’s push to expand its high-speed connectivity and chip design capabilities. The deal includes cash and unlisted securities alternatives, offering flexibility to Alphawave shareholders. This acquisition is strategically significant as it strengthens Qualcomm’s position in data center and AI infrastructure markets, areas experiencing explosive growth. The transaction demonstrates how UK-listed tech firms remain attractive targets for global players seeking advanced IP and engineering talent.

Energy

Energy activity remained modest in 2025, with five firm offers totaling £284m, representing 1% of aggregate deal value. Transactions included:

• the £216m offer for Wood Group (John) plc by Dar Al-Handasah Consultants Shair and Partners Holdings Ltd (Dar Al-Handasah)
• the £45m offer for Challenger Energy Group plc by Sintana Energy Inc.
• the £11m offer for Pod Point Group Holdings plc by EDF Energy Customers Limited
• the £7m offer for Deltic Energy plc by Viaro Energy Limited

Average bid premia in the Energy sector were relatively high (40%).

Dar Al-Handasah announced a £216m all-cash offer for Wood Group (John) plc in August 2025. This transaction is notable for its cross-border nature, with a Lebanon-based engineering and design firm acquiring a UK-listed energy services company. The deal, funded through equity subscriptions to bidco, reflects a strategic push by Dar Al-Handasah to expand its global footprint in energy infrastructure and engineering services. It also signals confidence in the long-term demand for integrated energy solutions despite market volatility.

In October 2025, Sintana Energy Inc. proposed a £45m share-only offer for Challenger Energy Group plc, marking an unusual consideration structure compared to the typical cash-based deals in the sector. This transaction highlights a trend toward equity-driven acquisitions, particularly among smaller AIM-listed energy firms seeking growth capital without increasing debt burdens. The deal underscores the strategic importance of Challenger’s exploration assets and suggests a collaborative approach to unlocking value in frontier energy markets.

EDF Energy Customers Limited announced a £11m all-cash offer for Pod Point Group Holdings plc in June 2025. This acquisition is strategically significant as it strengthens EDF’s position in the UK electric vehicle (EV) charging infrastructure market. The deal, funded through existing cash resources, reflects EDF’s commitment to accelerating the energy transition and supporting EV adoption. It also illustrates how traditional energy utilities are diversifying into clean technology and mobility solutions to align with net-zero objectives.