Logistics trade buyers continue to dominate M&A activity in 2026, as businesses drive for geographic and service offering expansion – a new BDO report has found.

According to new figures, 94% of deals were completed by trade buyers in the second quarter of the year, reinforcing the ongoing theme that strategic consolidation remains key to growth in the logistics and supply chain market.

More generally, transactional activity in Q2 remained consistent with the previous quarter, increasing slightly from 15 deals to 16. However, activity levels remain lower than in 2025, when 22 deals were recorded between April and the end of June.

BDO’s ‘UK M&A Update – Q2 2026’ report shows that nearly two-fifths of transactions (38%) were cross-border, with only one direct private equity investment recorded in the last quarter – H2 Equity BV’s investment in the MBO of KB Event, a transaction that BDO advised on.

Other prominent deals in Q2 2026 included US-based Quorum Business Solutions’ acquisition of Streamba Limited; the sale of George Walker Transport to WS Holdco Limited; Northstarr Group’s acquisition of X2 UK Limited; and the sale of Courier Company to Italian company, Phse Sri.

Jason Whitworth, M&A partner at BDO LLP, commented: “M&A continues to play an important role in the growth ambitions of the logistics sector, with the latest figures reinforcing the value of consolidation when it comes to achieving scale, whether that’s geographically or across service lines.

“While transactional activity remains consistent in the first half of the year, activity levels are lower than in 2025. However, with the expectation of a more stable economic environment, following recent political developments, we are anticipating a more positive outlook for the remainder of the year.
“Appetite in UK assets from international consolidators also remains strong. This continues to demonstrate the value in quality market leading UK businesses with scale, quality customers and excellent service potential.”

According to BDO’s quarterly M&A report, tech-enabled deals in the logistics sector increased marginally on the previous quarter, but remain lower than in previous years.

In the second quarter of 2026 only 19% of transactions were related to transport and logistics tech businesses. This compares to 40% of deals during the same period last year. With the rapid emergence of AI, BDO believes investors are seeking greater clarity on its longer-term implications before committing capital to technology-focused investments.

Whitworth said: “Many logistics businesses are under pressure to move quickly with AI, but the most successful organisations are those that find the right balance between innovation and control.

“Our recent series of regional logistics sector events highlighted the common misconception that AI will arrive as a single transformational solution – one that fixes longstanding operational challenges overnight. In reality, the greatest value often comes from hundreds of small improvements across an organisation, whether that’s reducing manual reporting, automating routine communications, or improving planning decisions to collectively unlock significant efficiency gains. This more gradual and cautious approach to innovation is certainly being reflected in the investor market.”