Mergers And Acquisitions (M&A) In Aerospace And Defense Market Size (2024 - 2029)

The aerospace and defense sector is experiencing significant growth, driven by increasing air traffic, urbanization, and defense budgets. Mergers and acquisitions have become a key strategy for companies in this sector to enhance technological capabilities and mitigate risks. Despite regulatory challenges that could impact the market's expansion, the demand for new aircraft, rising geopolitical tensions, and technological advancements are expected to support the market's growth trajectory. This environment creates opportunities for original equipment manufacturers and smaller players to enter and expand within the market.

Market Size of Mergers And Acquisitions (M&A) In Aerospace And Defense Industry

Mergers And Acquisitions (M&A) In Aerospace And Defense Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 194.90 Billion
Market Size (2029) USD 341.34 Billion
CAGR (2024 - 2029) 11.86 %
Fastest Growing Market Europe
Largest Market North America
Market Concentration High

Major Players

Mergers And Acquisitions (M&A) In Aerospace And Defense Market Major Players

*Disclaimer: Major Players sorted in no particular order

Mergers And Acquisitions (M&A) In Aerospace And Defense Market Analysis

The Mergers And Acquisitions In Aerospace And Defense Market size is estimated at USD 194.90 billion in 2024, and is expected to reach USD 341.34 billion by 2029, growing at a CAGR of 11.86% during the forecast period (2024-2029).

Mergers and acquisitions (M&A) in the aerospace and defense (A&D) sector have emerged as a commercially viable business strategy. They help the participants enhance their technological know-how while dividing the risks associated with technological disruptions. An M&A facilitates the sustenance of both firms and, in most cases, helps the major players foster comparatively faster growth than their competitors.

In recent years, the aerospace and defense sector has showcased tremendous growth. The increasing air traffic, growing urbanization, and the rising number of aircraft are some of the critical drivers of the aerospace sector. The growing defense budget, increasing focus on strengthening military capabilities, and rising war situations are boosting the market's growth in the defense sector. Increasing expenditure in both sectors will create better opportunities for original equipment manufacturers and small players to enter the market and expand their operations. Thus, key players in the aerospace and defense sector focus on business expansion through various strategies, such as mergers and acquisitions, new contracts, agreements, and partnerships.

Although there have been several developments in mergers and associations in the aerospace and defense sector, rising regulations associated with mergers and acquisitions may hamper the market’s growth in the long run. Various regulations have been implemented to regulate mergers and acquisitions within the aerospace and defense sector. In countries with a federal government, the regulations for merger and acquisition activities fall within the dual jurisdiction of the federal government as well as the individual state in which the target company has been incorporated. Despite these factors, rising air passenger traffic, new aircraft deliveries, rising geopolitical tensions, and corresponding new technological innovations are expected to support the market’s growth.

Mergers And Acquisitions (M&A) In Aerospace And Defense Industry Segmentation

Mergers and acquisitions (M&A) in the aerospace and defense (A&D) sector have emerged as a commercially viable business strategy as they help the participants enhance their technological know-how while mitigating the risks associated with technological disruptions. Moreover, mergers and acquisitions facilitate the sustenance of both firms and, in most cases, help the major players to foster comparatively faster growth than their competitors.

The aerospace mergers and acquisitions market is segmented based on sector and geography. By sector, the market is segmented by aerospace and defense. The report also covers the market sizes and forecasts in major countries across different regions. For each segment, the market size is provided in terms of value (USD).

Sector
Aerospace
Defense
Geography
North America
Europe
Asia-Pacific
Latin America
Middle East and Africa
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Mergers And Acquisitions (M&A) In Aerospace And Defense Market Size Summary

The aerospace and defense sector has increasingly turned to mergers and acquisitions as a strategic approach to enhance technological capabilities and mitigate risks associated with technological disruptions. This trend has been driven by the sector's robust growth, fueled by rising air traffic, urbanization, and an expanding number of aircraft in the aerospace domain, alongside increased defense budgets and a focus on military enhancements in the defense sector. These strategic moves have allowed major players to achieve faster growth compared to their competitors, creating opportunities for original equipment manufacturers and smaller entities to expand their market presence. Despite the challenges posed by regulatory frameworks governing M&A activities, the sector continues to experience growth supported by rising air passenger traffic, new aircraft deliveries, and geopolitical tensions that necessitate technological advancements.

The European region is anticipated to witness significant growth, bolstered by a strong aviation and defense sector supported by high demand and the presence of leading companies such as Airbus SE, BAE Systems, and Safran SA. The regional market is driven by increasing air travel, new airport constructions, and a surge in aircraft deliveries, alongside a rising demand for business jets and helicopters. Key industry players are actively pursuing acquisitions to enhance their capabilities and market position, as evidenced by notable transactions such as BAE Systems' acquisition of Ball Aerospace and Parker-Hannifin's acquisition of Meggitt PLC. These strategic acquisitions aim to expand product portfolios and improve overall performance, contributing to the market's growth trajectory during the forecast period. The competitive landscape is marked by aggressive acquisition strategies among major players like Boeing, Airbus, and RTX Corporation, aiming to secure significant contracts and strengthen their market dominance.

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Mergers And Acquisitions (M&A) In Aerospace And Defense Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Porter's Five Forces Analysis

      1. 1.4.1 Bargaining Power of Buyers/Consumers

      2. 1.4.2 Bargaining Power of Suppliers

      3. 1.4.3 Threat of New Entrants

      4. 1.4.4 Threat of Substitute Products

      5. 1.4.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Sector

      1. 2.1.1 Aerospace

      2. 2.1.2 Defense

    2. 2.2 Geography

      1. 2.2.1 North America

      2. 2.2.2 Europe

      3. 2.2.3 Asia-Pacific

      4. 2.2.4 Latin America

      5. 2.2.5 Middle East and Africa

Mergers And Acquisitions (M&A) In Aerospace And Defense Market Size FAQs

The Mergers And Acquisitions In Aerospace And Defense Market size is expected to reach USD 194.90 billion in 2024 and grow at a CAGR of 11.86% to reach USD 341.34 billion by 2029.

In 2024, the Mergers And Acquisitions In Aerospace And Defense Market size is expected to reach USD 194.90 billion.

Aerospace M & A Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)