The article outlines the growing influence of Environmental, Social and Governance (ESG) elements in mergers and acquisitions (M&A). ESG due diligence is now a vital part of evaluating the risks and opportunities linked to target companies during mergers and acquisition transactions. Companies can gain a deeper insight into risks, opportunities and long-term value creation by assessing their environmental impact, social responsibility and governance structures. The study incorporates ESG factors in the entire M&A process, focusing on the significance of early evaluation and ongoing monitoring after the merger. The study also outlines effective methods for ESG due diligence, acknowledges the challenges faced and explores the potential for future research in this developing area. The results highlight how strong ESG practices are essential for effective M&A deals and better financial results in today’s corporate strategy.