Pre-close · Precision Manufacturing

Lease Assignments for Precision Manufacturing Independent Sponsors

Securities and M&A counsel for independent sponsors managing precision manufacturing transactions, from LOI to close to the capital markets that open up afterward.

EV range $10M to $150M EV EBITDA $2.5M to $25M Audience Buy-side / Sponsor
The deal context

Precision Manufacturing deals in the lower middle market run a specific playbook. Lease Assignments is where the structure either holds or starts to leak.

The typical precision manufacturing platform sits at $10M to $150M EV with EBITDA in the $2.5M to $25M range. The thesis runs on platform plus tuck-in machine shops or aerospace-qualified shops. Most precision manufacturing sellers will not sign an LOI without a known capital partner already named.

The moves

How Lease Assignments actually gets structured.

  1. Pull every lease, estoppel, and SNDA in the data room.

  2. Identify landlord consent requirements and prepare consent packages.

  3. Address landlord recapture rights that can be triggered at change of control.

  4. Sequence consent collection to avoid a last-minute single-landlord veto.

  5. In precision manufacturing, layer in AS9100 succession plan as a closing condition as part of the Lease Assignments workstream.

The common mistake

Waiting until two weeks before close to request landlord consents. Landlords use the timeline against the buyer.

Jason's take
"Lease consents are the deal-killer that never makes the highlight reel. Start early, finish early."
Jason Powell · Lease Assignments
Capital after close

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

The capital that opens up post-close, from refinancing to growth equity to strategic exit, runs through a small set of Wall Street relationships. That network is built in.

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 precision manufacturing target, and a Lease Assignments 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.