Asia M&A buyers to boost use of R&W insurance in 2025

45% of respondents foresee a notable increase in the use of deal insurance.

The use of representations and warranties (R&W) insurance in Asia is expected to grow significantly in 2025, according to Norton Rose Fulbright’s latest Global M&A Trends and Risks report. 

In South and Southeast Asia, 45% of respondents foresee a notable increase in the use of deal insurance, marking one of the highest projected upticks globally.

The report, based on a Q1 2025 survey of 200 senior executives and updated following the US announcement of new tariffs in April, highlights that private equity and corporate buyers in Asia are increasingly turning to insurance to mitigate transaction risks. 

The trend reflects a broader shift toward de-risking amidst regulatory scrutiny and trade uncertainty.

Increased use of M&A insurance is emerging alongside a surge in private equity activity, particularly in Southeast Asia, where local funds are focused on mid-market transactions and international firms are targeting larger assets in East Asia. 

This coincides with a rise in vertical integration deals and acquisitions of AI-related businesses, especially in East Asia.

Regulatory concerns also play a role in deal structuring. In East Asia, antitrust scrutiny is a key barrier to M&A, whilst in South and Southeast Asia, foreign investment and subsidy rules are more pressing.

Despite global trade disruptions, Asia-based dealmakers show resilience, with 28% reporting an increased appetite for M&A following tariff-related tensions. 

This shift is reflected in growing intra-Asia deal activity and reduced focus on US markets.