Boom in M&A activity among Spanish family-owned businesses in 2025

The boom in M&A among Spanish family-owned businesses in 2025 is the result of a structural transformation. Family businesses, which represent 92.4% of all companies in Spain and generate 70% of private-sector employment (Institute for Family Business, 2025), are leading a new cycle of growth.

According to the 2025 report by Maio Legal and Strategy with Purpose, 27% of family business owners plan to make acquisitions, while 29% are leaning toward strategic alliances. This dynamic reflects a shift in mindset: less conservatism, more forward-looking vision.

Family businesses driving mergers and acquisitions

In 2023, 43% of M&A deals in Spain involved family-owned companies, surpassing private equity (26%) and industrial corporations (19%), according to the National Statistics Institute (INE). This is not a passing trend; it’s a strong pattern that continues in 2025.

The report M&A and Family Business: How to Align Ownership and Management at a Defining Moment points out that this surge is supported by a favorable financial backdrop. Corporate debt has fallen for the second consecutive year to 64.7% of GDP, the lowest level since 2001 (Bank of Spain, cited by Cinco Días, May 31, 2025).

But there's more beneath the surface: a generation of business leaders — mainly baby boomers — is now facing key decisions about the future of their companies. Expand? Seek a partner? Sell? For many, M&A has become the structural answer to these dilemmas.

Leading sectors and real opportunities

The M&A boom among Spanish family businesses in 2025 is most visible in fragmented sectors, in consolidation phases, or under technological pressure. According to Business People (June 2, 2025), the most promising opportunities are in:

Energy: The energy transition demands financial strength and technical know-how. Many family-owned SMEs are merging or integrating renewable projects to remain competitive.
Technology: Digital transformation is no longer optional. Traditional businesses are acquiring tech startups to update their processes, sales channels, and business models.
Pharmaceutical industry: The concentration of labs and distributors is driving acquisitions to gain scale, diversification, and access to R&D.
Agri-food and manufacturing: Sectors where global competition and tight margins push toward integration. Here, many family businesses aim to lead the consolidation rather than be absorbed by others.

Maio Legal and Strategy with Purpose point out that the most active family businesses share a common pattern: solid financial structures, strategic vision, and professionalized governance. The key is deciding whether to lead the change or yield ground to external capital.

Succession

While optimism is real, challenges are too. The greatest internal obstacle remains succession. According to the Institute for Family Business (2025), 70% of first-generation family companies lack a defined succession plan. This threatens their continuity beyond the founder.

EY and the University of St. Gallen, in their Global Family Business Index 2025, warn that only 30% of such businesses survive the transition to the second generation. Misalignment between the family and professional management can directly impact day-to-day operations and hinder up to 30% of business activity (Maio Legal, 2025).

This emotional and structural environment makes any M&A process a complex decision. It's not just about growth or exit — it's about redefining the role of the family, professionalizing governance, and avoiding internal conflict.

As Nuria Morcillo noted in Cinco Días (May 31, 2025): “M&A in family businesses is not a simple transaction. It’s an identity transformation that requires maturity, sound advice, and business vision.”

At Confianz, we have supported hundreds of companies through mergers, acquisitions, and restructurings — combining strategic vision, legal expertise, and sensitivity to family dynamics. If you’re considering growth or reorganization, let’s talk. We can help you make the right decisions.