Written by: Marcus Wolter, Bianca Lindau, and Elizabeth Bestwick

Cross-border deal activity between the United States and Germany is showing surprisingly strong momentum in 2025. Even though Europe’s economy remains sluggish, trade frictions persist, and geopolitical uncertainty looms, the US-Germany corridor is on track for one of its most active years since 2021.

German Buyers Drive Outbound Activity

German acquirers in particular are stepping up. In the first half of 2025, German companies invested roughly USD 14.3 billion across 29 US deals.[1] Among notable transactions:

  • Siemens AG’s $5.1 billion acquisition of Dotmatics, expanding its digital laboratory portfolio.[2] 
  • Merck KGaA’s $3.9 billion purchase of SpringWorks Therapeutics, enhancing its oncology pipeline.[3]
  • Infineon Technologies AG’s ~$2.5 billion deal for Marvell Technology’s automotive Ethernet business, boosting its automotive‐connectivity capabilities.[2]

These landmark transactions reflect a clear strategic thrust: German industrial champions are buying US assets to access technology, scale and innovation even amid economic turbulence. Contributing drivers include a relatively weaker USD (making US targets more attractive for euro‐based buyers), stabilizing US inflation/rates, and the US offering relative energy cost advantages and proximity to large markets.

US Buyers Regain Confidence in Germany

US acquirers are also showing renewed interest in German targets. In the first half of 2025, US buyers already surpassed the total annual inbound value into Germany in 2024 (the precise figure is ~USD 5 billion+ across 50+ deals).[1]

High‐profile deals include:

  • Proofpoint Inc.’s ~$1 billion acquisition of Hornetsecurity GmbH, strengthening its cyber-defence platform.
  • Teleflex Inc.’s ~$794 million purchase of Biotronik SE & Co. KG’s vascular business.
  • A consortium led by TPG Capital’s ~$7.8 billion takeover of Techem GmbH.[4]

The uptick reflects renewed confidence in German industrial/technology assets: valuations remain relatively compelling and German companies remain innovation leaders in many sectors.

Macroeconomic Context and Deal Drivers

On the German side, subdued growth and rising insolvencies are creating strategic opportunity. For example, one German source forecasts weak growth going forward and highlights a rise in insolvency filings, which is forcing many firms to reconsider strategy or seek partner consolidation. On the US side, although Q1 2025 saw softness in GDP, Q2 rebounded and inflation has moderated, supporting deal‐making.

The combination of (i) strategic restructuring needs, (ii) target valuations that are more attractive than in boom years, (iii) favorable currency/exchange dynamics, and (iv) well-capitalized corporations is underpinning this cross-border momentum.

A Resilient Transatlantic Corridor

The data to date confirm that volatility has not derailed the US-Germany M&A corridor. Germany continues to host high‐quality industrial and tech assets at relatively attractive valuations, while the US offers unmatched scale, liquidity, and innovation.

For dealmakers on both sides of the Atlantic, navigating complexity has become part of the playbook rather than a reason to pause. As regulatory, trade-policy, and macroeconomic headwinds become baseline concerns, successful dealmakers are distinguishing themselves by executing with sharper focus on strategic fit, integration risk, and cross-border synergies.

This publication is distributed with the understanding that the author, publisher, and distributor of this publication and/or any linked publication are not rendering legal, accounting, or other professional advice or opinions on specific facts or matters and, accordingly, assume no liability whatsoever in connection with its use. Pursuant to applicable rules of professional conduct, portions of this publication may constitute Attorney Advertising. The choice of a lawyer is an important decision and should not be based solely upon advertisements.

Sources

[1] Law360. (2025, October 14). US-German M&A Hits Its Stride Despite Economic Headwinds. https://www.law360.com/articles/2397911/us-german-m-a-hits-its-stride-despite-economic-headwinds

[2] Boston Consulting Group (BCG). (2025). Regional Perspectives on Dealmaking Across the Globe. https://www.bcg.com/publications/2025/regional-perspectives-on-dealmaking-across-the-globe

[3] Financial Times. (2025). Merck KGaA to Buy SpringWorks Therapeutics for $3.9 Billion. https://www.ft.com/content/940a9556-4875-40cb-ab19-26069b6afd8e

[4] BeBeez. (2025, October 17). US-German M&A Hits Its Stride Despite Economic Headwinds. https://bebeez.eu/2025/10/17/us-german-ma-hits-its-stride-despite-economic-headwinds/

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