PMGC Holdings Completes Acquisition of SVM Machining
PMGC Holdings completed the acquisition of SVM Machining. The company said, "Founded in 1997 by Mark Serpa, SVM is a Northern California-based ISO 9001:2015 Certified CNC precision machining and manufacturing services company serving medical, aerospace, biotech & pharmaceutical, semiconductor, and transportation markets. This transaction represents PMGC's third California based CNC machine shop acquisition to date, expanding PMGC's growing footprint in precision manufacturing and furthering its strategy to assemble a multi-site machining platform serving aerospace, defence, medical and industrial industries." PMGC acquired 100% of the issued and outstanding shares of SVM from the seller, on a cash-free, debt-free basis. Base Purchase Price: $2,250,000 in cash, consisting of $2,000,000 paid at closing and a $250,000 indemnification holdback retained by PMGC at closing. Purchase price includes a defined Final Cash Balance and a net working capital adjustment relative to a "Net Working Capital Target." In addition to the base purchase price, the seller may be entitled to receive contingent earnout consideration based on SVM achieving certain defined revenue performance levels during a specified post-closing measurement period. Any earned earnout amounts, if applicable, would be payable within 10 days following PMGC's filing of its Form 10-K for the fiscal year that includes the applicable earnout measurement period.
