Heightened Homeland Security and Military Demand Drives Tactical Products M&A Activity
Capstone’s latest Tactical Products M&A Update reports that the Tactical Products sector has seen strong deal momentum, supported by market size growth year-over-year (YOY). Public safety concerns within the U.S. have boosted demand for tactical gear and personal safety products, prompting inventory reassessments across law enforcement agencies and security firms. Municipal demand has risen; 97% of mayors called for increased grants to purchase police department equipment, and 95% for crime prevention efforts, according to a September 2025 U.S. Conference of Mayors survey. In August, President Trump announced an executive order that declared a state of emergency in Washington D.C., resulting in the deployment of the National Guard to support regional law enforcement operations. This strategy has since been utilized across the United States, with guardsmen having arrived in cities like Chicago and Memphis.
This rise in federal and local law enforcement efforts is expected to buoy near and long-term demand for domestic tactical products. On an international scale, rising global instability has prompted nations to adopt self-reliant strategies and build out military capabilities. Specifically, depleted domestic arms stockpiles due to the Russo-Ukraine War have necessitated an acute demand for tactical products, as individuals seek military-grade gear and personal protection. Capstone expects deal flow to remain strong, particularly in areas tied to sector tailwinds such as Tactical Materials, Gear Efficiency, and Integrated Technology Solutions.
Also included in this report:
A breakdown of Tactical Products sector public company data.
Several notable Tactical Products M&A transactions in mission-critical areas.
Capstone Partners’ Consumer Investment Banking Team provides M&A, capital formation, and financial advisory services to the owners of middle market businesses in the Consumer Industry. Our team partners with leading mid-to-large sized business in the Tactical sector that serve growing end-markets. For more information on Tactical Products market trends featured in this report or to speak with one of our Tactical Products Investment Banking Team members about how to grow, value, and/or sell your company, we are here to help. Contact us today to start a conversation.
