Arlington Capital Partners has sold Forged Solutions Group to JF Lehman & Company, marking a strategic shift from its typical pattern of exiting aerospace and defense companies to strategic buyers. The deal follows Arlington's recent sales of Stellant and Tex-Tech, with managing director Peter Manos noting the private equity buyer emerged as the highest bidder despite interest from both strategic and financial buyers.

FSG's sale comes amid a broader uptick in aerospace and defense dealmaking, where Arlington has historically focused on identifying supply chain vulnerabilities. Manos highlighted that the three companies Arlington recently exited operate in markets with limited suppliers, addressing shortfalls in the Western industrial base. The firm grew FSG's sales revenue by 60 percent and tripled EBITDA since forming the company in 2019.

Meanwhile, consulting firm BRG reports that 81 percent of dealmakers experienced increased M&A disputes in 2025, with most stemming from middle-market deals valued at $1 billion or less. The report predicts dispute volume will continue rising in 2026 as deals grow more complex and geopolitical risks intensify.