In a landscape marked by rising trade tensions and persistent uncertainty over U.S. policy, mergers and acquisitions (M&A) and financing professionals in the Asia-Pacific (APAC) region are navigating these complexities with a notable sense of optimism. A recent sentiment report from SS&C Intralinks, produced in collaboration with Reuters, reveals that an impressive 94% of dealmakers anticipate an increase in transaction activity in 2025, with nearly half predicting substantial growth. This optimistic outlook reflects a renewed appetite for strategic investments, even as the market faces fresh headwinds.
Alex Turner, Vice President of Sales for Asia Pacific at SS&C Intralinks, emphasized that the survey indicates a robust confidence among dealmakers and a clear determination to leverage potential growth opportunities. “This signals not just optimism but a readiness to engage in deal-making that has been somewhat on hold as the market wrestles with volatility,” he noted. Despite recent fluctuations, there is a persistent growth trend in early-stage M&A and fundraising activities, suggesting that many are preparing to launch new projects as market conditions stabilize.
This period of optimism arises from several conducive factors, including stabilizing interest rates in critical markets, evolving supply-chain strategies, particularly the China+1 approach, and a strategic focus on effectively deploying previously accumulated capital. Turner explained that the shift in focus is moving from middle-market transactions to larger, high-value deals as firms look to maximize their outcomes in a complex environment.
Nevertheless, the financing landscape poses a significant challenge for dealmakers, with over half of the respondents in the survey indicating they expect financing conditions to tighten over the next year. Among these respondents, 28% identified financing as the most formidable hurdle to successful deal-making. This sentiment underscores the current high-pressure market climate characterized by heightened economic volatility, escalating geopolitical tensions, and a patchwork of regulatory frameworks.
In addition to external economic factors, the rise in data complexity related to due diligence processes presents an additional challenge. As the volume of data continues to grow exponentially, firms are finding it increasingly difficult to navigate the due diligence landscape without falling prey to inefficiencies.
Given these hurdles, firms are now turning to technology, particularly artificial intelligence (AI), to sharpen their competitive edge in the deal-making arena. SS&C Intralinks has invested heavily in AI-driven technologies designed to enhance the efficiency and effectiveness of M&A processes. The incorporation of AI is evolving from a luxury to a necessity, as the ability to make informed, rapid decisions based on large datasets can drastically reduce transactional bottlenecks. “Those who can respond swiftly while maintaining control over their data and workflows will gain significant advantages,” Turner stated.
The market’s demand for speed and transparency also extends into fundraising activities. Fund managers are increasingly recognizing the importance of managing the investor experience holistically, from fundraising through to onboarding and reporting. “As the dynamics of fundraising evolve, general partners (GPs) must offer a customized and intuitive experience to build lasting trust with limited partners (LPs) throughout the investment life cycle,” Turner noted.
The fund managers who will be successful in this changing landscape are those willing to embrace a data-informed approach to fundraising, adapting to the evolving expectations of investors who are now more selective regarding the quality, transparency, and timeliness of information. “Having the visibility into transactions that LPs require is crucial for fostering their confidence to commit capital,” added Turner.
Simultaneously, the integration of AI into deal-making and fundraising processes must strive for intuitive usability, bridging the gap between the potential AI offers and the everyday experiences of teams. Turner highlighted that the new generation of SS&C Intralinks’ platform, implemented through DealCentre AI™, epitomizes this focus. The platform aims to simplify complex workflows, thereby enhancing productivity across geographic and stakeholder divides while complying with varying regulatory requirements that characterize the APAC region.
As the use of technology continues to evolve, firms are urged to prioritize extensive training and ongoing support, ensuring that teams can extract maximum value from the sophisticated tools at their disposal. “We recognize that technology must be paired with superior service and industry expertise. That is what keeps us at the forefront of innovation in deal-making,” Turner concluded.
In summary, while the APAC M&A landscape is fraught with challenges, leading industry players are leveraging emerging technologies and adopting agile responses to maximize opportunities. The application of AI, coupled with strategic shifts in deal-making approaches and renewed trust-building efforts, will be essential as professionals navigate the complexities of the current economic environment. As firms anticipate navigating an evolving landscape marked by uncertainty, informed decision-making and robust technological integration will be critical in determining success in the years to come.