Medtech dealmaking rebounded last year, and, in 2026, M&A players are seeking to “outperform the next-best owner” amid softer valuations for assets.
That’s according to Bain & Company’s new 2026 global M&A report, which found that the industry’s cumulative deal value rose to $80 billion in 2025 compared with $68 billion in 2024 and $39 billion in 2023. The increase was “driven by renewed strategic confidence and large transactions,” the authors wrote.
Things really picked up in the second half of last year as deal values hit about $50 billion, up from the $30 billion in the first half. This trend was “supported by declining valuations,” Bain said.
2025 saw spinoffs and divestitures becoming a fixed and central feature of medtech dealmaking. “These transactions accounted for 34% of strategic deal value through Nov. 2025, up from 29% on average between 2020 and 2024,” the report found.
Looking ahead to this year, enduring softer valuations “will heighten competition for high-quality assets,” the firm said. In this environment, “smart buyers will determine where they can outperform the next-best owner […] whether through scale advantages, a stronger go-to-market strategy, or a unique strategic fit,” according to Bain.
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We’ve already seen a major deal in 2026 with Boston Scientific’s $14.5 billion agreement to buy out Penumbra and its range of medical device products.
The report’s authors also warned that headline deals may get the greatest level of attention, but “most are not building category leaders.”
Instead, “serial, targeted, capability-building deals that sharpen a company’s edge—whether it be in robotics or diagnostics or imaging—can often be more effective in increasing category leadership,” the authors wrote.