Generational Equity Advises K-Fab in Sale to DPMS

By Generational Equity


Generational Equity, a leading mergers and acquisitions advisor for privately held businesses, is pleased to announce the sale of its client, K-Fab Inc., to DPMS. The acquisition closed November 29, 2018.

Founded in 1980, K-Fab operates a 22,000-square-foot precision machine shop making parts for a variety of end markets including military, semiconductor, and aerospace industries. The company is certified to ISO 9001:2015 and has a committed focus to high quality and on-time delivery. Services provided include finishing and coating, welding and bonding, honing, grinding, lapping, heat treating, chemical cleaning, and NDT and destructive testing.

For over 30 years DPMS has provided the highest level of service and product quality to its customers by providing a wide range of precision machining solutions. DPMS is well equipped to deliver complex machine tooling projects, design for manufacturability assignments, assembly services, and precision machining projects on time. DPMS is a portfolio company of Gladstone Investment Corporation.

Gladstone Investment Corporation (“Gladstone”) is a publicly traded business development company focused on acquiring mature, lower middle market companies with $20 to $100 million in revenue, attractive fundamentals, and strong management teams. Investing alongside both management teams and independent sponsors, Gladstone typically provides most, if not all, of the equity and debt capital required to close a transaction, which greatly increases certainty and speed of closing. Additionally, as a publicly traded fund, it differs from other private equity funds in that it has no partnership end-of-life deadlines and can provide truly patient, long-term capital.

Senior M&A Advisor Jim Hermann, supported by Managing Director Mike Meredith, carried the deal to a successful close. Senior Managing Director Tom Braun established the initial relationship with K-Fab.

“This transaction had a lot of moving parts, which caused it to take longer than normal to close,” said Hermann. “However, due to the cooperation of all the parties it ended with a positive result for everyone.”

About Generational

Headquartered in Dallas, Generational is one of the leading M&A advisory firms in North America.

With more than 350 professionals located throughout 17 offices in North America, the companies help business owners release the wealth of their business by providing growth consulting, merger, acquisition, and wealth management services. Their six-step approach features strategic and tactical growth consulting, exit planning education, business valuation, value enhancement strategies, M&A transactional services, and wealth management.

The M&A Advisor named the company Investment Banking Firm of the Year three years in a row, Valuation Firm of the Year in 2020, and North American Investment Bank of the Year in 2022 as well as Consulting Firm of the Year. For more information, visit