Swiss dealmaking surges to record highs despite strong franc
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Mergers & AcquisitionsAdd to myFTGet instant alerts for this topicManage your delivery channels hereRemove from myFTSwiss dealmaking surges to record highs despite strong francSwiss groups are involved in deals across sectors, defying currency moves and US tariffsThe flurry of deals has continued despite the Swiss franc being up 14% against the dollar since January and slightly stronger against the euro © Stefan Wermuth/BloombergSwiss dealmaking surges to record highs despite strong franc on x (opens in a new window)Swiss dealmaking surges to record highs despite strong franc on facebook (opens in a new window)Swiss dealmaking surges to record highs despite strong franc on linkedin (opens in a new window)Swiss dealmaking surges to record highs despite strong franc on whatsapp (opens in a new window) Save Swiss dealmaking surges to record highs despite strong franc on x (opens in a new window)Swiss dealmaking surges to record highs despite strong franc on facebook (opens in a new window)Swiss dealmaking surges to record highs despite strong franc on linkedin (opens in a new window)Swiss dealmaking surges to record highs despite strong franc on whatsapp (opens in a new window) Save Mercedes Ruehl in ZurichPublishedDecember 14 2025Jump to comments sectionPrint this pageUnlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.Switzerland is heading for a record year for mergers and acquisitions, with deals spanning industries despite a surging franc that has made its companies some of the most expensive targets in Europe.New data shows that Swiss groups have been involved in M&A activity worth more than $163bn so far in 2025. Deals targeting Swiss companies also hit their highest level since 2018.“It was a very good year, and with some significant deals being announced,” said Olof Engelbrekts, head of investment banking for Switzerland at Bank of America.The flurry of deals has continued despite currency moves, with the Swiss franc up 14 per cent against the dollar since January and slightly stronger against the euro.The most high-profile transaction was Swedish-Swiss engineering giant ABB, which agreed to sell a majority stake in its $15bn-plus robotics division to SoftBank. This was one of the largest transactions in Europe this year and a significant step in ABB’s long-running simplification strategy.In insurance, Helvetia’s merger with Baloise created a significant new force in the Swiss market, combining two of the country’s biggest insurers. Building materials group Holcim continued its acquisition streak, completing a string of bolt-on deals in construction, aggregates and materials recycling companies, including its €1.85bn deal to buy Xella, another building materials company.Bankers said the steady stream of deals had made Holcim one of the busiest Swiss companies of the year as it reshaped its portfolio ahead of a planned US listing.There were also infrastructure transactions, including Mediterranean Shipping Company pursuing a major expansion of its port and terminal network through a deal with Hong Kong-based conglomerate CK Hutchison. Drugmakers Roche and Novartis targeted biotech assets. Roche struck early stage deals, including an agreement to acquire Poseida Therapeutics to bolster its oncology and immunology pipeline. Novartis continued to add to its pipeline through bolt-on acquisitions and licensing deals in selected growth areas such as immunology. “The IPO market had been more challenging,” said Thorsten Pauli, country chief executive of Switzerland at Bank of America. “So there were more M&A exits and large pharmas buying companies that might otherwise have gone public or raised private capital.”The record year is striking given worries about the potential dampening effect of Donald Trump’s “liberation day” tariffs in April.“There was the liberation day, and people were very inwardly focused . . . and we all thought it was going to be quite a tough and weak year in terms of M&A announcements. But then come May, it really picked up,” Engelbrekts said.The Trump administration then slapped a 39 per cent tariff rate on Switzerland. But the country’s status as an investment haven, coupled with overall stability, still attracted deals. The US has since agreed to lower the rate to 15 per cent. At the same time, bankers said the strong franc, rather than deterring activity, has given Swiss corporates more purchasing power and boosted confidence.“We have the Swiss franc at all-time highs, financing is very much available, valuations are continuing to go up,” Pauli said. “We’ve got everything playing in your favour to do more M&A.”Reuse this content (opens in new window) CommentsJump to comments sectionPromoted Content Follow the topics in this article European companies Add to myFT Mergers & Acquisitions Add to myFT Financials Add to myFT Switzerland Add to myFT Mercedes Ruehl Add to myFT Comments