The global construction and engineering sector is experiencing a sharp upswing, with deal value in Q3 2025 surging to $36.7 billion, a 34% increase from the previous quarter. While the number of deals declined, those that did close were larger, more strategic, and bolder in scope, reflecting a shift toward consolidation and long‑term positioning.
Bigger Deals, Stronger Momentum
Across the first nine months of 2025, deal count rose 14% year‑over‑year, underscoring sustained investor appetite. Total deal value reached $79.6 billion, marking a 19% increase compared to the same period in 2024. Analysts point to a combination of infrastructure demand, energy transition projects, and digital transformation in engineering services as key drivers of this momentum (PwC Global Deals Insights, EY Construction Sector Outlook).
Strategic Shifts
Industry observers note that companies are prioritizing scale, resilience, and diversification. Rather than chasing volume, firms are targeting acquisitions that strengthen supply chains, sustainability capabilities, and advanced technologies. This reflects a broader trend of aligning construction and engineering with climate goals and smart infrastructure development (McKinsey Infrastructure Report).
Outlook
With governments worldwide investing heavily in green infrastructure and urban renewal, the sector’s deal activity is expected to remain robust. The Q3 surge signals that construction and engineering are not just rebounding but redefining themselves as central players in the global economic transition (World Bank Infrastructure Brief).
Sources: PwC · EY · McKinsey · World Bank
