Post-close · Building Products

Independent Sponsor Post-Close Governance in Building Products

Independent sponsor counsel for building products, focused on Post-Close Governance and the deal mechanics that protect sponsor economics and LP alignment.

EV range $10M to $150M EV EBITDA $2.5M to $25M Audience Independent Sponsor
The deal context

Every building products acquisition has its own gravity. Post-Close Governance is the workstream where independent sponsor counsel earns the seat.

The typical building products platform sits at $10M to $150M EV with EBITDA in the $2.5M to $25M range. The thesis runs on regional manufacturer or specialty distributor consolidation. Pricing power lives in dealer contracts, not in branding. Read the dealer agreements before the LOI.

The moves

How Post-Close Governance actually gets structured.

  1. Build a board with sponsor majority, one LP-elected seat, and one independent.

  2. Define LP protective provisions narrowly, focused on dilution, exit, and related-party transactions.

  3. Set information rights at monthly financial and quarterly board-level updates.

  4. Plan the annual budget approval cadence so the sponsor can run the business.

  5. In building products, layer in raw-material pass-through clauses confirmed as part of the Post-Close Governance workstream.

The common mistake

Negotiating governance like a fund LPA. independent sponsor governance has to be lighter and faster.

Jason's take
"Governance design decides whether the operator runs the company or files reports."
Jason Powell · Post-Close Governance
Capital after close

The deal is one thing. The capital that opens up after close is another.

Capital after close is where the IRR actually gets made. The right introductions at month nine through month thirty are where this practice works as hard as it does at the LOI.

MONTH 18
Senior refi
MONTH 24
Dividend recap
MONTH 36
Growth equity
YEAR 4–5
Strategic exit
TALK TO JASON

An LOI on the desk, a building products target, and a Post-Close Governance question worth a real conversation.

Twenty minutes of practitioner-grade input from a securities attorney whose first move is to read the deal, not the engagement letter.