Insights from the Vlerick M&A Monitor 2026
Yesterday Vlerick Business School presented the 2026 edition of the M&A Monitor. The insights presented in the report are based on online survey responses of 158 Belgian M&A experts.
The report offers a comprehensive look into the evolving dynamics of the Belgian mergers and acquisitions market. This year's report, crafted by the Centre for Mergers, Acquisitions and Buyouts, reveals a landscape marked by cautious optimism and strategic recalibration among M&A professionals.
Market Recovery and Future Outlook
The Belgian M&A market in 2025 saw a gradual recovery, particularly in the small-cap segment, despite mid-market challenges. The report indicates that nearly 74% of respondents observed stable or increasing deal activity, with smaller transactions under €20 million experiencing the most significant uptick. Looking ahead, 56% of experts predict a continued rise in deal-making through 2026, driven by strategic repositioning and technological advancements.
Valuation Trends
Valuations remained stable, with an average EV/EBITDA multiple of 6.4. Notably, the technology sector commanded the highest multiples, reflecting its ongoing appeal to investors. The report highlights that buyouts often attract higher multiples than strategic acquisitions, underscoring the competitive nature of financial-backed transactions.
Deal Financing Dynamics
Increased leverage in deal financing was a key trend, with the average net financial debt to EBITDA ratio rising to 3.4. This shift aligns with improved debt-financing conditions in the European market. Additionally, while the use of vendor loans decreased slightly, earn-outs remained steady, emphasizing innovative financing structures in play.
Strategic and Financial drivers
For strategic acquirers, economies of scale and cross-selling opportunities were the most important drivers, while financial buyers focused on buy-and-build strategies. Interestingly, the report suggests a shift towards value creation through financial leverage and multiple arbitrage, reflecting a nuanced approach to investment returns.
The Deal Process
M&A timelines in 2025 exhibited polarization, with both quicker and more prolonged deal completions noted. Buyouts generally progressed faster than strategic acquisitions, highlighting a more structured and efficient process. Additionally, buyouts attracted higher competition, evidenced by more indicative offers per transaction.
As M&A professionals navigate the coming year, these insights will be valuable in leveraging opportunities and overcoming challenges in the dynamic M&A environment.
The research was carried out by Professor Mathieu Luypaert and researchers Sarah Muller and Tom Floru from the Centre for Mergers, Acquisitions & Buyouts at Vlerick Business School, in collaboration with the Bank Van Breda, Moore, Van Olmen & Wynant and Wallonie Entreprendre.
To download the report visit: https://www.vlerick.com/en/insights/small-deals-gain-momentum-mid-market-remains-under-pressure/
