Merger and acquisition activity fell by more than a quarter in the first half of 2020, according to new figures from William Fry.
However the fall was not as pronounced as the one seen globally during the same period.
According to the law firm's latest Mergers & Acquisitions Review, there were 65 deals in Ireland in the first half of the year - a drop of 29%.
The deals were worth a combined €2 billion, which is 26% lower than the value of deals in the same period of 2019.
The vast majority of deals involved overseas buyers, while most were also 'mid-market' deals - meaning they were worth between €5m and €250m.
The largest deal in the period was the sale of Dublin-based Decawave to US firm Qorvo for €363m.
The second biggest was the sale of Eir's tower assets to a subsidiary of Blackstone Group for €300m.
"For most markets 2020 is likely to represent one of the lowest, if not the lowest, watermarks in M&A since the global financial crisis more than a decade ago," Stephen Keogh, Head of Corporate and M&A at William Fry.
"A significant decline in Irish M&A activity was to be expected, yet these falls are far less than the global decline in M&A where deal value sunk by 53% over the same period, and volume dropped 49%, as investors worldwide adopted a highly risk-averse mindset".
Mr Keogh said there was reason to be "cautiously optimistic" about a rise in deals in the second half of the year, including some larger agreements.
He said Ireland's economic fundamentals remain attractive to international buyers, however the health of the M&A market worldwide will ultimately hinge on how Covid-19 is managed in the coming months.
