Waupaca Foundry to be acquired by private investment firm

Waupaca Foundry Inc., Waupaca, Wisconsin, will be acquired by Monomoy Capital Partners, a private investment firm with offices in Connecticut and New York. Waupaca Foundry currently is owned by Proterial Ltd., formerly Hitachi Metals Group, a Tokyo-based international producer of high-performance materials for mobility, industrial infrastructure and electronics. After the purchase, the company will continue to operate under its current management team, led by President, CEO and Chief Operating Officer Michael Nikolai.

The transaction is expected to close in early 2024 and is subject to customary closing conditions. Terms of the sale have not been disclosed.  

Waupaca Foundry is a leading supplier of cast and machined iron castings in North America. The company has operations dating back to 1871 and produces iron castings largely from scrap metal for use in the transportation, construction, agriculture and industrial markets. The company employs more than 4,000 people and operates five iron casting foundries and two machining facilities in Wisconsin, Indiana and Tennessee, as well as a plant in Ironwood, Michigan, where castings produced at its Waupaca foundries are cleaned and finished. It has 1.4 million tons of capacity, making it one of the largest metal casting suppliers globally.

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“Waupaca Foundry is excited to start a new chapter with Monomoy, an experienced, operationally focused investment group, to continue to invest and grow our commitment to our customers, suppliers and employees,” Nikolai says. “The Waupaca leadership team looks forward to a bright future and the opportunities that can stem from this partnership.”

Nikolai also thanked Proterial for its support and welcomed the resources and partnership Monomoy will bring. “Together, we will focus on capitalizing on opportunities to expand and grow the business in a wide range of sectors in the Americas, including the automotive, industrial machinery, agricultural machinery and construction machinery sectors, while building upon our legacy of success,” he says of the company’s new owner.

Proterial Representative Director, Chairman, President and CEO Sean Stack, says, “In 2014, we partnered with Waupaca Foundry to further accelerate our global expansion. Since then, our successful collaboration resulted in the increased efficiency of manufacturing sites and raw material procurement in North America.”

“Waupaca Foundry has made tremendous advancements during its time with Proterial, and we are enthusiastic about building on that momentum as we establish our partnership with the company,” adds Monomoy founding partner and Co-CEO Dan Collin. “We look forward to working alongside Mike and the Waupaca team to leverage our operational resources to unlock continued growth.”

BMO Capital Markets Corp. provided debt financing for the transaction and served as exclusive financial advisor to Monomoy on the transaction, while Kirkland & Ellis LLP provided legal counsel. JPMorgan Securities LLC and Moelis & Co. LLC served as financial advisors, and Ropes & Gray LLP served as legal counsel to Waupaca Foundry.