PMGC Holdings Subsidiary Signs Long-Term Aerospace Supply Agreement

This article is based on an official press release from PMGC Holdings Inc. and supplementary financial research.

On March 31, 2026, PMGC Holdings Inc. (NASDAQ: ELAB) announced that its wholly owned subsidiary, AGA Precision Systems LLC, has executed a Long-Term Agreement (LTA) with Turbo-Jet Products Co., Inc. According to the official press release, AGA will serve as a supplier of mission-critical aerospace and defense components, supporting Turbo-Jet across both commercial and military programs.

The announcement underscores a broader industry movement toward securing domestic supply chains. By locking in a multi-year framework, both companies are positioning themselves to navigate the stringent regulatory requirements of the U.S. aerospace and defense sectors. We note that this agreement represents a significant operational milestone for AGA Precision Systems following its recent corporate acquisitions and facility expansions.

Strategic Aerospace Partnership

Scope of the Long-Term Agreement

Based on the details provided in the company’s announcement, the newly signed LTA establishes a binding framework that will govern all future purchase orders between the two entities. The contract features an initial five-year term and includes provisions for subsequent annual renewals. While specific financial metrics, such as minimum purchase volumes or total contract dollar values, were not publicly disclosed in the release, the operational scope is clearly defined.

AGA Precision Systems will be responsible for manufacturing and supplying precision components engineered to meet demanding technical specifications. Because these components are destined for defense and commercial aerospace applications, the agreement ensures that AGA’s manufacturing processes comply with the Federal Acquisition Regulation (FAR) and the Defense Federal Acquisition Regulation Supplement (DFARS).

The partnership solidifies a durable, strategic relationship between a specialized precision manufacturer and a legacy aerospace supplier, ensuring compliance with strict federal defense contracting standards.

Corporate Background and M&A Validation

AGA Precision Systems’ Rapid Expansion

AGA Precision Systems, a California-based specialized CNC machine shop, has undergone rapid transformation over the past year. According to corporate filings, PMGC Holdings acquired AGA in July 2025 for $650,000. The subsidiary specializes in high-tolerance milling, turning, mold manufacturing, and the machining of complex metals, including titanium and Inconel. In October 2025, AGA further expanded its manufacturing footprint by acquiring the operating assets of Indarg Engineering, Inc.

Turbo-Jet’s Legacy in Aerospace

Turbo-Jet Products Co., Inc., the counterparty in this agreement, brings decades of industry experience. Founded in 1948 and also based in California, Turbo-Jet designs and manufactures custom electromagnetic, electromechanical, fluid, and pneumatic controls. The company holds AS9100 Rev. D and ISO 9001:2015 certifications, making it a vital player in the aerospace, military, transportation, and medical industries.

Financial Context for PMGC Holdings

Market Reaction and Restructuring

The parent company of AGA, PMGC Holdings Inc., was formerly known as Elevai Labs, Inc. before rebranding in December 2024. Led by CEO Graydon Bensler, PMGC has been executing a roll-up strategy focused on U.S.-based manufacturing and industrial businesses. Following the announcement of the Turbo-Jet agreement, market data indicated that PMGC Holdings’ stock (ELAB) rallied by approximately 7%.

Despite the positive market reaction to the LTA, PMGC Holdings is currently navigating a complex financial results landscape. The company recently reported its fiscal year 2025 results, showing a 43% increase in total assets to $12.87 million. However, financial analysts highlight that the parent company operates with a micro-cap valuation of under $2 million and has experienced negative gross profit margins over the trailing twelve months.

To maintain compliance with exchange listing requirements, PMGC implemented a 1-for-6 reverse stock split that became effective on March 10, 2026. Additionally, corporate disclosures from March 2026 reveal updated consulting agreements for the company’s leadership, effective January 1, 2026. Under these terms, CEO Graydon Bensler receives an annual consulting fee of $300,000, while Chairman Braeden Lichti receives $360,000.

AirPro News analysis

We view this Long-Term Agreement as a direct validation of PMGC Holdings’ 2025 acquisition strategy. By purchasing AGA Precision Systems and bolting on the assets of Indarg Engineering, PMGC successfully assembled a certified manufacturing base capable of securing multi-year contracts with established defense suppliers like Turbo-Jet.

A critical catalyst for this deal was AGA’s recent achievement of AS9100 certification and International Traffic in Arms Regulations (ITAR) compliance. In the aerospace sector, these certifications act as a formidable competitive moat. Without ITAR registration, participation in FAR/DFARS-regulated U.S. military supply chains is virtually impossible.

However, the narrative presents a stark duality. On the operational front, AGA Precision Systems is demonstrating tangible growth and securing vital industry partnerships that align with macroeconomic trends toward U.S. manufacturing reshoring. Conversely, its parent company, PMGC Holdings, continues to face significant financial headwinds, cash-flow challenges, and the realities of micro-cap restructuring. The long-term success of this venture will likely depend on PMGC’s ability to translate AGA’s operational milestones into sustainable, positive gross margins.

Frequently Asked Questions (FAQ)

What is the duration of the agreement between AGA and Turbo-Jet?
The Long-Term Agreement features an initial five-year term, with provisions included for annual renewals thereafter.

Why is ITAR compliance important for AGA Precision Systems?
International Traffic in Arms Regulations (ITAR) compliance is a strict regulatory requirement for companies involved in the manufacturing of defense and military-related technologies. It allows AGA to legally handle controlled defense projects and integrate into U.S. government supply chains.

What is PMGC Holdings’ core business strategy?
PMGC Holdings Inc. is executing a roll-up strategy, which involves acquiring and consolidating smaller, U.S.-based manufacturing and industrial businesses, such as AGA Precision Systems, to build a larger, more capable diversified holding company.

Sources

• PMGC Holdings Inc. Press Release