October 23, 2025 – SLB Capital Advisors discussed sale leasebacks in the context of M&A with Mergers & Acquisitions
SLB Capital Advisors’ Managing Partner Scott Merkle discussed sale leasebacks in the context of M&A with Mergers & Acquisitions
“Sale-leasebacks are a financing tool,” Merkle says
“Sale-leaseback investors often pay a greater multiple than the business will trade for, so the real estate is in effect trapped capital,” [Merkle] adds.
There is also a common misconception that a sale leaseback only makes sense when it funds a big chunk of the deal,” Merkle says. “In truth, even when the proceeds represent just 10 to 20 percent of enterprise value, the value creation can be meaningful.”
Read the full article here