Industrial automation M&A cooled off further in Q1 2026, following a broader M&A trend of slower deal count growth but larger deals driving higher capital flows. Still, we see bright spots in the industry that can drive a re-acceleration of M&A in the sector in 2026, driven by strong fundamental trends, still near-record dry powder by financial buyers, and continued acquisitive demand by strategics.

Highlights from the report:

• IA deal count slipped to 18 deals in Q4 from 24 in Q3 2025 and 21 in Q4 2024.
• The total number of PE and VC IA transactions decreased to 25 in Q1 2026 vs. 32 in Q4 2025 and 29 in Q1 2025.
• M&A momentum accelerated in Q1 2026, with deal volume climbing 10% QoQ to 583 and 33.4% YoY, while capital invested soared 145.3% to $93.7B, signaling robust investor appetite for automation, robotics, and digital transformation assets
• Broader industrials M&A in North America rebounded sharply in Q1 2026, with total deal volume up approximately 31% sequentially and nearly back to Q1 2024 levels.

To download the Industrial Automation Q1 2026 Market Update report, please visit our website: Industrial Automation Q1 2026 Report.

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