Average deal timelines fell by 4% amidst improved financial conditions and market stability, Ideals VDR reveals

• Eased interest rates, increased access to financing, resurgence in investor confidence and technology adoption contributed to a positive dealmaking environment in 2024
• The decline in average deal durations was driven by North America seeing the largest fall of 7% 

London/New York, 22 July 2025: The average time to complete an M&A deal fell by 4% to 255 days in 2024, dropping from 266 days in 2023, according to new research from leading virtual data room (VDR) provider, Ideals. The shift – driven by falling interest rates, improved access to financing, companies’ strong financial position and usage of new technology – reflects the return of market confidence and M&A activity. 

Ideals’ latest report, titled ‘M&A Deal Trends report 2025’, explores the key trends and developments shaping the global M&A landscape across sectors, regions, and deal timelines. Since 2019, average M&A timeframes have been steadily increasing year-on-year, with deal durations growing from 191 days in 2019 to 266 days in 2023. Economic challenges, regulatory complexity, tightening financial conditions, and rising interest rates have all resulted in fewer deals reaching completion, a less competitive landscape, and reduced dealmaking appetite. 

Improvements in the second half of 2024, including falling interest rates, increased access to financing, liquidity and private credit alongside companies’ strong financial standing and dealmaking appetite, have contributed to the faster deal timelines and investor resurgence.

In addition to improved financing, the adoption of new technologies – such as AI, machine learning and advanced analytics – have also streamlined the traditionally slow due diligence and compliance processes, resulting in speedier and more efficient deal proceedings.

Region and sector differences

Exclusive data from M&A transactions completed using Ideals VDR shows that, across regions, North America contributed to the decline of average deal timelines. Deal durations fell from 271 days in 2023 to just 252 days in 2024, a 7% decrease, while in Asia & Oceania, this was a minor drop from 319 days to 316 days in 2024. Deal duration in Western Europe was flat, standing at 255 days. 

There is also significant variation between sectors. The IT & Services industry witnessed the largest decline of 13%, from 279 days to 244 days, with eased inflation, reduced capital costs, a more favourable regulatory environment and the AI boom contributing to its fall. This was followed by Real Estate, which saw a fall of 10%, from 327 days to 295 days. 

In contrast, Environmental & Utilities and Energy & Mining sectors experienced lengthier dealmaking timelines, increasing by 60 and 48 days respectively. Despite the global shift towards a net-zero economy, these industries remain heavily regulated, thus undermining progress towards renewable energy infrastructure creation and adoption.

Commenting on the report, Sabine Schilg, VP of Customer Success at Ideals, said, “The deal timeline decline of 4% reflects the return of market interest, improved financing conditions and stability. Since 2019, the market has undergone economic challenges – 2024 marked a positive change. However, recent geopolitical instability has since reversed this. 

“As access to financing and market conditions tighten, conducting thorough due diligence has become essential for successful deals. It’s therefore crucial that dealmakers collaborate with legal, operational, and ESG experts and integrate technology within the due diligence process to ensure the efficient and detailed checks of regulatory, cybersecurity and compliance requirements.” 

David Acharya, Managing Partner at Acharya Capital Partners, who was a collaborator of the report commented, “In good times, deals move faster because competition is fierce, debt markets are flowing, and the focus is on growth indicators. 2024 was a clear example that under the right conditions, deal activity can flourish. Now, with market volatility and geopolitical concerns, we are digging deeper into financial and operating data, seeking affirmation of continuing financial performance, and heightened downside protection.”

Chin-Harn Leong, Partner in TMT Transaction Services at KPMG, another collaborator on the report, noted, “In 2024, we saw large amounts of dry powder in the private equity sector and stability in interest rates. This helped make financing more accessible, increased investor interest, and reduced macroeconomic uncertainty. The situation has since changed, and engaging in deeper due diligence process is essential for dealmakers. 

“As the volume of data and data analysis increases, AI has become a vital tool in compressing processing time, sharpening risk identification and enabling a more rigorous, data-led approach to diligence. By incorporating AI into due diligence checks, teams can analyse large volumes of data more efficiently, create a feedback loop and have deeper insights.”

To access the full report, click here: https://learnings.idealsvdr.com/ma-deal-trends-report-2025/ 

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For further information, please contact: 

Ralph Sedgwick/Nikhil Chatrath-Saglani/Michelle Hoh/Hanyan Tsien 

FINN Partners

Email: ideals@finnpartners.com 

Notes to editors

Ideals 

Founded in 2008, Ideals is a Virtual Data Room (VDR) provider that combines best-in-class functionality and fortress-like security with a client-centric approach. By offering AI-driven efficiency and 10x quicker file processing, Ideals helps businesses close deals faster, streamline due diligence and enhance buyer engagement. 

With granular access controls, transparent pricing that removes hidden fees, and 24/7 white-glove support, Ideals empowers organizations across M&A, corporate governance, and regulated industries to accelerate their most important transactions with confidence.

For more information, visit https://www.idealsvdr.com/