Weller Metalworks Adds to Platform with Acquisition of Drop Sprockets

NASHVILLE, TN – July 18, 2024 – LFM Capital, a private equity firm focused on lower middle market manufacturing and industrial services businesses, announced today that Weller Metalworks, a metal fabrication, precision machining and stamping platform, completed the acquisition of DROP Sprockets, Inc (“DROP”). Terms of the transaction were not disclosed.
 
Founded in 2006, DROP is a leading manufacturer of high-quality, customizable made-to-order sprockets used in all applications. The company is based near Nelson, British Columbia.
 
LFM Capital established Weller Metalworks (“Weller” or “the Platform”) to focus on offering complete lifecycle fabrication, precision machining and stamping solutions to customers, from the early stages through production and end-of-life with a focus on integrated digital technologies. Weller added Muthig Industries and Laser Precision to the platform in 2023.
 
Brian Yoder, Weller President and CEO, commented, “We are excited to add DROP Sprockets to the Weller platform to augment our manufacturing capabilities. The combination of our complementary resources, systems and expertise will create a win-win situation for our customers and companies, allowing us to offer a more diverse range of products across North America. We look forward to serving even more customers with the outstanding performance both Weller and DROP are known for today.”
 
Anders Malpass, President and Founder of DROP Sprockets Inc., stated, “I am confident that our customers will view this partnership as a significant benefit given Weller’s high standards of quality, delivery and scale. I look forward to working with LFM and the Weller team to expand our footprint while upholding our commitment to excellence and innovation.”  Anders will continue his role as President of DROP and will now also serve as the President of Weller Distribution, driving meaningful distribution relationships for the Platform across North America and beyond.
 
LFM Managing Director Dan Shockley commented, “The addition of sprockets to our existing expansive line of metal products fits squarely into our desire to be the supplier of choice for customers who are looking for high quality components delivered when they need them.”
 
LFM Operating Partner Ken Hoefling, Vice President Russ Aiken, and Senior Associate Dalton Gullett worked with Shockley on the transaction. Senior Associate David Juneau helped source the opportunity.
 
About LFM Capital
LFM Capital is a private equity firm based in Nashville, Tennessee. The LFM team is led by experienced and successful Fortune 50 global executive managers and private equity professionals who bring decades of management leadership, operating best practices, exceptional professional recruiting networks, and a successful track record in lower middle market investing. LFM targets lead or control investments in U.S.-based lower middle market manufacturing and industrial services companies with at least $3 million of EBITDA and enterprise values ranging from $15 million to $125 million. The firm’s mission is to partner with portfolio company management to develop and build world-class operations through a combination of manufacturing and operations excellence and targeted growth and expansion strategies. For additional information, please visit www.lfmcapital.com.

About DROP Sprockets
Located near Nelson, British Columbia, DROP is a leading manufacturer of high-quality, customizable sprockets. The company specializes in made-to-order (MTO) sprockets, including engineered, roller, drive, drum, and segmental types. Utilizing a unique manufacturing technology platform, DROP delivers sprockets faster than any other manufacturer, often providing same-day MTO production and shipping. For more information, please visit www.dropsprockets.com

About Weller Metalworks
Weller Metalworks is a best-in-class fabrication, stamping, and precision machining company that provides components to customers around the world. Through outstanding quality and delivery, Weller offers a consolidated network of companies that collaborate to address customers’ needs across the entire product lifecycle. For more information, please visit www.wellermetal.com/