TechPrecision Corporation (OTCPK:TPCS) entered into a stock purchase agreement to acquire STADCO, Inc. from Five Crowns Capital, LLC and others for $0.8 million on October 16, 2020. Under the terms of the transaction, TechPrecision will issue 1 million shares as consideration of the transaction. On February 2, 2021, TechPrecision Corporation entered into an amendment of stock purchase agreement effective December 15, 2020.

Under the stock purchase agreement amendment, if the acquisition is not closed by February 28, 2021 TechPrecision or Stadco may have terminated the agreement. STADCO reported revenues of $16.4 million in 2019. On July 23, 2021, TechPrecision Corporation entered into an amendment of stock purchase agreement effective July 20, 2020.

Under the stock purchase agreement amendment TechPrecision will issue 0.6 million shares as consideration. The transaction is subject to the agreements being reached with certain stockholders and lenders of STADCO, in each case relating to the satisfaction of the debts and obligations owed to such persons, the completion of certain due diligence activities to the satisfaction of the TechPrecision, receipt of consents and approvals from third parties and certain customary conditions. The deal is expected to complete on December 1, 2020.

As of June 10, 2021, due diligence and negotiations continue into the final stages with regards to the acquisition and TechPrecision expect to reach a resolution before August 1, 2021. The acquisition will immediately double the size of the TechPrecision by revenue and provide an established defense and aerospace presence for TechPrecision. As of August 12, 2021, closing is expected to occur during the week of August 15, 2021.