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2024 Market Report: M&A Resurgence Fuels Growth in Aerospace, Defense, and Government Services

Evergreen Advisors Capital 2024 Market Report

Explore key insights from Evergreen Advisors Capital’s yearly 2024 Industry Market Report, highlighting trends and opportunities in the Aerospace, Defense, and Government Services (ADG) sector.

Key Findings:

  • Resurgence in M&A Activity: The ADG sector saw consistent M&A activity driven by geopolitical tensions, growing defense budgets, and tech advancements, with large-scale deals leading the way. Strategic buyers focused on acquiring new technology and strengthening supply chains.
  • Economic and Market Dynamics: The U.S. economy grew by 2.7% with stabilizing inflation and interest rate cuts aimed at balanced growth. Post-election uncertainty impacted late 2024 M&A activity, with lingering effects expected in 2025.
  • 2024 Key Market Drivers: Increased government spending on security, stabilizing interest rates, decelerating inflation, and low unemployment were the main drivers of market growth. Federal infrastructure and defense spending also supported economic activity.
  • Opportunities and Challenges for 2025: ADG M&A activity in 2025 will be highly dependent on the agencies served and capabilities provided. While broader macroeconomic conditions remain favorable, uncertainty around policy changes and government restructuring will slow activity in the first half of the year.

Explore the Annual ADG Market Report

Understand the latest trends shaping Aerospace, Defense, and Government Services, with expert analysis from Evergreen Advisors Capital.