PMGC Holdings Inc. (NASDAQ: ELAB) announced that its subsidiary A&B Aerospace Inc. has entered into a long-term manufacturing agreement with Precision Aerospace & Defense Group Inc. (PAD Group), effective July 23, 2026.

The two-year agreement, which automatically renews for successive one-year periods unless either party provides notice of non-renewal, establishes A&B Aerospace as a precision-machined components supplier to PAD Group and its subsidiaries across aerospace and defense programs. The agreement does not include a guaranteed minimum purchase volume or revenue commitment. Each purchase order will specify products, quantities, pricing, and delivery schedules.

The agreement positions A&B Aerospace to support purchase orders connected to U.S. federal government prime contracts, subject to applicable Federal Acquisition Regulation (FAR) and Defense Federal Acquisition Regulation Supplement (DFARS) requirements.

Separately, PMGC Capital LLC, a wholly owned subsidiary of PMGC, made a $500,000 strategic investment in PAD Group through a purchase of Series F Convertible Preferred Stock, pursuant to PAD Group's private offering memorandum.

According to a press release, a non-binding term sheet outlines additional proposed transactions between the two companies. Those arrangements remain subject to due diligence, negotiation and execution of definitive agreements, required corporate approvals, and other customary closing conditions. The company stated there is no assurance the proposed investment or service agreement will be completed on the terms described, or at all.

A&B Aerospace, founded in 1948 and headquartered in Azusa, California, provides CNC machining, grinding, honing, and precision deburring services and holds AS9100 and ISO 9001 certifications. PAD Group is headquartered in Overland Park, Kansas. PMGC's precision manufacturing platform also includes AGA Precision Systems and SVM Machining.